A desire to purchase one-fourth of capital and profit and loss interest in the partnership of B, C, and D. The three partners agree to se A 20% of their respective capital and profit and loss interests in exchange for a total payment of P100,000. The payment is made directly to the individual partners. The capital accounts and the respective percentage interests in profits and losses immediately before the sale to A following B с D 168,000 104,000 48,000 50% 35% 15% Compute the capital balance to be credited to A.
A desire to purchase one-fourth of capital and profit and loss interest in the partnership of B, C, and D. The three partners agree to se A 20% of their respective capital and profit and loss interests in exchange for a total payment of P100,000. The payment is made directly to the individual partners. The capital accounts and the respective percentage interests in profits and losses immediately before the sale to A following B с D 168,000 104,000 48,000 50% 35% 15% Compute the capital balance to be credited to A.
Chapter14: Choice Of Business Entity—operations And Distributions
Section: Chapter Questions
Problem 20P
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![A desire to purchase one-fourth of capital and profit and loss interest in the partnership of B, C, and D. The three partners agree to sell
A 20% of their respective capital and profit and loss interests in exchange for a total payment of P100,000. The payment is made
directly to the individual partners. The capital accounts and the respective percentage interests in profits and losses immediately
before the sale to A following
B
C
D
168,000
104,000
48,000
50%
35%
15%
Compute the capital balance to be credited to A.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F28e44eef-e50e-496a-b50e-876dada4744b%2Fcec21b84-b734-49b7-beac-011206da881a%2Fye8kuhj_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A desire to purchase one-fourth of capital and profit and loss interest in the partnership of B, C, and D. The three partners agree to sell
A 20% of their respective capital and profit and loss interests in exchange for a total payment of P100,000. The payment is made
directly to the individual partners. The capital accounts and the respective percentage interests in profits and losses immediately
before the sale to A following
B
C
D
168,000
104,000
48,000
50%
35%
15%
Compute the capital balance to be credited to A.
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