Partnership Dissolution

Admission by investment of assets

New capital balance of the partners after the admission of Tria.
Date Description Debit Credit Resulta, Capital Partners Amount P & L Ratio
04/01/2018 Resulta, Capital (45,000 x 60%) 27,000 27,000 1,330,000 Resulta 2,968,750 x 50% 1,484,375 (1,484,375/2,968,750) x 100 50%
Magpantay, Capital (45,000 x 40%) 18,000 24,000 30,000 Magpantay 2,968,750 x 30% 890,625 (890,625/2,968,750) x 100 30%
Allowance for Bad Debts 45,000 Cr. Bal. 1,309,000 Tria 2,968,750 x 20% 593,750 (593,750/2,968,750) x 100 20%
1,360,000 1,360,000 Total 2,968,750 100%
Inventories (1,700,000 - 1,650,000) 50,000
Resulta, Capital (50,000 x 60%) 30,000
Magpantay, Capital (50,000 x 40%) 20,000 Magpantay, Capital Notes:
to record adjustments in inventories 18,000 1,080,000 Resulta, Capital 1,309,000
16,000 20,000 Magpantay, Capital 1,066,000
Resulta, Capital (40,000 x 60%) 24,000 Cr. Bal 1,066,000 Total Cr. Bal 80% 2,375,000
Magpantay, Capital (40,000 x 40%) 16,000 1,100,000 1,100,000 Total Capital
Accrued Expenses 40,000 2,375,000 x (100/80) = 2,968,749
 Description Debit Credit
Resulta, Capital (45,000 x 60%) 27,000
Magpantay, Capital (45,000 x 40%) 18,000
Allowance for Bad Debts 45,000

Inventories (1,700,000 - 1,650,000) 50,000

Resulta, Capital (50,000 x 60%) 30,000
Magpantay, Capital (50,000 x 40%) 20,000
to record adjustments in inventories

Resulta, Capital (40,000 x 60%) 24,000

Magpantay, Capital (40,000 x 40%) 16,000
Accrued Expenses 40,000

Resulta, Capital
27,000 1,330,000
24,000 30,000
Cr. Bal. 1,309,000
1,360,000 1,360,000

Magpantay, Capital
18,000 1,080,000
16,000 20,000
Cr. Bal 1,066,000
1,100,000 1,100,000

Partnership Dissolution
Admission by investment of assets
New capital balance of the partners after the admission of Tria.
Partners Amount P & L Ratio
Resulta 2,968,750 x 50% 1,484,375 (1,484,375/2,968,750) x 100 50%
Magpantay 2,968,750 x 30% 890,625 (890,625/2,968,750) x 100 30%
Tria 2,968,750 x 20% 593,750 (593,750/2,968,750) x 100 20%
Total 2,968,750 100%

Notes:
Resulta, Capital 1,309,000
Magpantay, Capital 1,066,000
Total Cr. Bal 80% 2,375,000
Total Capital
2,375,000 x (100/80) = 2,968,749
a.
Date Description Debit Credit
05/21/2022 Natalie, Capital 140,000
Cash 100,000
Sophie, Capital (40,000 x 20/80) 10,000
Mia, Capital (40,000 x 20/80) 10,000
Gabriell, Capital (40,000 x 40/80) 20,000

b.
Date Description Debit Credit
05/21/2022 Sophie, Capital (120,000 + 10,000) x 10% 13,000
Mia, Capital (160,000 + 10,000) x 10% 17,000
Gabriell, Capital (80,000 + 20,000) x 10% 10,000
Keith, Capital 40,000