On December 31, 2020, ABC Partnership’s Statement of Financial Positions shows that A, B, and C have capital balances of P500,000, P300,000, and P200,000 with a profit and loss ratio of 1:3:6. On January 1, 2021, C retired from the partnership and received P350,000. At the time of C’s retirement, the assets of the partnership are undervalued and revaluation is necessary. What is the capital balance of B after the retirement of C? 375,000 537,500 525,000 562,500

On December 31, 2020, ABC Partnership’s Statement of Financial Positions shows that A, B, and C have capital balances of P500,000, P300,000, and P200,000 with a profit and loss ratio of 1:3:6. On January 1, 2021, C retired from the partnership and received P350,000. At the time of C’s retirement, the assets of the partnership are undervalued and revaluation is necessary. What is the capital balance of B after the retirement of C? 375,000 537,500 525,000 562,500

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter4: Gross Income: Concepts And Inclusions

Section: Chapter Questions

Problem 12DQ

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