Clet, Jose Vicente M.

BSMA-1202

Cash Non-Cash
Assets
P/L Percentages

Balance before Liquidation ₱ 2,000.00 ₱ 98,000.00

Sale of Non- Cash Assets and 58,000 -98,000

Distrubution of Profits
Balances ₱ 60,000.00
Payments Liabilities to Outsiders -60,000
Balances
Additional Investment of D and E 20,000
Balances 20,000
Payment of Liabilities -20,000
Cash distribution to partners -20,000
Final Balances 0

Entry
Cash 58,000
Noncash Assets 98,000
Gain on Realization 40,000

Gain on Realization 40,000

D, Capital 6,000

Liabilities 80,000
Cash 80,000

D, Capital 0
E, Capital 0
F,Capital 0
Cash
 D, E, F
Statement of Liquidation

Accounts D, Capital E, Capital

Payable
10% 40%

₱ 80,000.00 ₱ 10,000.00 ₱ 7,000.00

-4,000 -16,000

80000 6,000 -9,000

-60,000 6,000
20,000 10,000 7,000
4,000 16,000
20,000 4,000 16,000
-20,000
-10,000 -7,000
0 0
F, Capital

50%

₱3,000.00

-20,000

-17,000

17,000

-17,000
0
Problem 2

Jan-03 Subscription receivable 3,200,000

Suscribed PS share capital 3,000,000
Share Premium-PS 200,000

Subscription receivable-OS 3,060,000

Suscribed OS share capital 3,000,000
Share Premium -OS 60,000

Jan-05 Legal Expense 20,000

Ordinady share capital 25,000
Share Premium-Os 5,000
Jan-10 Cash 260,000
Subscription receivable-OS 780,000
Suscribed OS share capital 1.040,000
Share Premium-Os 40,000

Jan-12 Cash 310,000

Subscription receivable-PS 445,000
Suscribed PS share capital 755,000
Share Premium-PS 5,000

Jan-25 Cash 780,000

Subscription receivable-OS 780,000

Jan-26 Land(150 square meter ) 220,000

OS share capital 200,000
Share Premium -OS 20,000
Jan-27 Equipment 80,000
PS share capital 75,000
Share Premium -PS 5,000
Jan-28 Loans Payable 38,000
OS share capital 30,000
Share Premium -OS 8,000
Jan-30 Cash 455,000
Subscription receivable-PS 455,000

Memo Entry Method

Preference Share Capital, Authrized 50,00 shares

with a par value of 150
Subscribed PS Capital 775,000
(less): PS subscription receivable 0
Paid-in PS Capital
OS Capital, Authorized 100,000 shares with a stated value of 100 per share
Subscribed OS Capital 520,000
Less: OS Receivable 0
paid-in OS Capital
Total Paid-in Share Capital
Add: PS Premuim
OS Capital in Excess of stated Value
TOTAL SHAREHOLDERS EQUITY
3,740,000
0
 755,000
4,515,000
4,090,000

520,000
4,360,000
8,000,000
5,000
33,000 38,000
₱ 8,838,000.00