Sir Win – Accounting Lectures

Jokes Tagalog
Stories Legit Professor
Life Lessons

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Lecture 03: Partnership Formation
(Individuals with no existing business form a partnership)
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On April 6, 2021, Catherine Briones and Eman Angelo Naynes agreed

to form a partnership. The partnership agreement specified that
Briones is to invest cash of 1,850,000 and Naynes is to contribute land
with a fair value of 2,500,000 with 300,000 mortgage to be assumed
by the partnership. They agreed to share profit and losses equally.

Required:
1. Journal entries to record the partnership formation
2. Statement of financial position after partnership formation.