QUIZ

I. MULTIPLE CHOICE

1. B
2. C
3. C
4. B
5. B
6. B
7. B
8. A
9. B
10. C

II. PROBLEM SOLVING

1. How much is the adjusted balance for partner C?

 Letter of the answer: B

Solutions:
Cash P 520,967
Accounts Receivable (P 83, 790, – P 22,454) 61,336
Inventory (P 56,354 – P 22,567) 33,787
Notes Payable (67,984)
C, Capital P 548,106

2. How much is the adjusted balance for partner F?

 Letter of the answer: C

Solutions:
Land (P 1,908,300 + P 323,555) P 2,231,855
Building 2,598,000
F, Capital P 4,829,855
 3. How much the NRV of the inventory?

 Letter of the answer: A

Solutions:
Selling price P 56,354
Estimated costs to sell 22,567
NVR P 33,787

4. If the partnership gains a profit of P 250,000, how much is C’s share?

 Letter of the answer: C

Solutions:
Profit P 250,000
C’s Interest on the Capital x .40
C’s Share on the Profit P 100,000

5. If the partnership gains a profit of P 250,000, how much is F’s share?

 Letter of the answer: D

Solutions:
Profit P 250,000
F’s Interest on the Capital x .60
F’s Share on the Profit P 150,000

6. If the partnership incurs a loss of P 100,000, how much is C’s share?

 Letter of the answer: A

Solutions:
Loss P 100,000
C’s share Ratio on Loss x .50
 C’s Share on Loss P 50,000

7. If the partnership incurs a loss of P 100,000, how much is F’s share?

 Letter of the answer: B

Solutions:
Loss P 100,000
F’s share Ratio on Loss x .50
F’s Share on Loss P 50,000

8. How much note payable should the partnership recognize after its
formation?

 Letter of the answer: C

Solutions:
Net of notes Payable P 67,984
Discount on Notes Payable 15,234
Total Notes Payable P 83,218