Professional Documents
Culture Documents
PROBLEM #1
Partner's Original Investment
Cash 1,790,000
Balhag, Capital 1,790,000
To record initial contribution of Rosalie Balhag
Kriza Jean C. Misal Dean Noeme Par
BSBA FM1 - G1
PROBLEM #2
Formation of a Partnership
Sabio
ACCOUNT TITLE AND EXPLANATION DEBIT CREDIT
Equipment 400,000
Account Receivable 360,000
Allowance for doubtful account 54,000
Sabio, Capital 706,000
Kriza Jean C. Misal
BSBA FM1 - G1
PROBLEM #3
Formation of Partnership
1,260,000
360,000
120,000
1,500,000
1,350,000
150,000
Kriza Jean C. Misal
BSBA FM1 - G1
PROBLEM #4
Two sole proprietors form a partnership
PROBLEM #5
A sole Proprietor and an individual with no business Form a Partnership
Required: Opening Journal Entries in the books of the partnership
DATE ACCOUNT TITLE AND EXPLAINATION DEBIT CREDIT
1-Jan Cash 36,000
Account Receivable (net) 140,000
Inventory 460,000
Equipment (net) 124,000
Accounts Payable 30,000
Espanol , Capital 730,000
to record capital contributed by espanol.
1-Jan Cash 730,000
Quino 730,000
to record capital contributed by Quino
PROBLEM # 6
A sole proprietor and an Individual with no business Form of a Partnership.
Required:
Tolentino's Books
Adjust Sole Prop Books
a. Tolentino, Capital 32,000
Allowance for doubtful Accounts 32,000 a.
b. Tolentino, Capital 10,000 b.
Accumulated Depreciation 10,000
adjusted Bal.
Close Sole Prop Books
Allowance for doubtful Accounts 48,000
Accumulated Depreciation 20,000
Accounts Payable 36,000
Tolentino, Capital 310,000
Cash 4,000
Account Receivable 160,000
Inventory 200,000
Equipment 50,000
Partnership Books
Cash 4,000
Account Receivable 112,000
Inventory 200,000
Equipment 30,000
Accounts Payable 36,000
Tolentino, Capital 310,000
Cash 465,000
Tan, Capital 465,000
PROBLEM #7
A sole proprietor and an Individual with No Business Form of a Partnership
Required:
Mulles
Cash 229,500
Account Receivable 2,103,000
Inventory 900,000
Store Equipment 300,000
Allowance for uncollectible accounts 304,000
Notes payable 330,000
Accouns Payable 505,500
Mulles, Capital 2,393,000
Lucena
Cash 2,393,000
Lucena, Capital 2,393,000
2,103,000 - 1,799,000
390,000 - 300,000
Kriza Jean C. Misal
BSBA FM1 - G1
PROBLEM #8
Two Sole Proprietors Form a Partnership
Required:
Geron
Cash 11,000
Accounts Receivable 234,536
Inventories 114,535 120,035-5,500
Land 603,000
Furniture and Fixtures 50,345
Allowances for uncollectible Accounts 20,000
Accounts Payable 178,940
Notes Payable 200,000
Geron, Capital 614,476
Yumol
Cash 22,354
Accounts Receivable 567,890
Inventories 253,402
Building 428,267
Furniture and Fixtures 34,789
Allowance for uncollectible Accounts 35,000
Accounts Payable 243,650
Notes Payable 345,000
Yumol, Capital 683,052
Kriza Jean C. Misal
BSBA FM1 - G1
PROBLEM #9
Two Sole Proprietorship Form a Partnership
Required:
Adjustments Medina
Account Title Debit Credit
a. Medina, Capital 105,200
Merchandise Inventory, Beginning 105,200
Merchandise Inventory, Ending 356,400
Merchandise Inventory, Beginning 356,400
Merchandise Inventory, Ending 7,200
Loqueloque, Capital 7,200
b.
Land 68,000
Medina, Capital 68,000
Building 64,000
Medina, Capital 64,000
Medina, Capital 8,000
Office Equipment 8,000 Loqueloque
Repair Equipment 48,000
Medina, Capital 48,000
Loqueloque, Capital 22,000
Office Equipment 22,000
c.
Medina, Capital 60,000
Notes Payable 60,000
Cash 42,000
Account Receivable 389,200
Merchandise Inventory 356,400
Office Supplies 30,400
Land 108,000
Building 192,000
Office Equipment 16,000
Repair Equipment 124,000
Allowance for Uncollectible Accounts 22,400
Notes Payable 60,000
Accounts Payable 170,000
Mortgage Payable 200,000
Medina, Capital 805,600
Loqueloque
Cash 30,000
Account Receivable 169,200
Merchandise Inventory 308,000
Prepaid Rent 6,000
Office Supplies 4,000
Office Equipment 40,000
Allowance for Uncollectible Accounts 14,400
Accounts Payable 111,600
Loqueloque, Capital 431,200
Kriza Jean C. Misal
BSBA FM1 - G1
PROBLEM 10
Two Sole Proprietor Form a Partnership
On Oct. 31, 2019, Apalisoc and Tuddao agreed to combine their proprietorships as a partnership. Their statements of financial
Apalisoc's Business Tuddao's Business
Current Current
Assets Book Value Book Value
Market Value Market Value
Cash 37,000 37,000 80,000 80,000
Account Receivable (net) 220,000 202,000 80,000 63,000
Inventory 510,000 460,000 340,000 351,000
Property and Equipment (net) 1,218,000 1,235,000 535,000 574,000
Total Assets 1,985,000 1,934,000 1,035,000 1,068,000
Required:
1. Record the partnership formation.
2. Prepare the partnership's statement of financial position as at Oct. 31, 2019
Apalisoc
Account Title
Cash 37,000
Account receivable 202,000
Inventory 460,000
Property and Equipment 1,235,000
Account Payable 236,000
Accrued Expenses 22,000
Notes Payable 750,000
Apalisoc, Capital 926,000
Tuddao's
Cash 80,000
Account Receivable (net) 63,000
Inventory 351,000
Property and Equipment (net) 574,000
Account Payable 91,000
Accrued Expenses 14,000
Tuddao, Capital 963,000
p. Their statements of financial position are as follows:
Assets
Cash 117,000
Account Receivable 265,000
Inventory 811,000
Property and Equipment 1,809,000
Total Assets 3,002,000
Liabilities and Capital
Accounts Payable 327,000
Accrued Expenses 36,000
Notes Payable 750,000
Apalisoc, Capital 926,000
Tuddao, Capital 963,000
Total Liabilities and Capital 3,002,000