Question 13 2 2 pts love and kisses are partners

Question 13
2 / 2 pts
Love and Kisses are partners operating LK Merchandising with their following cash
contribution: Love P350,000 and Kisses P450,000. The capital accounts of Love and
Kisses for the year 2021 are as follows:
Love Kisses
Date Debit Credit Date Debit Credit
Jan 1 460,000 Jan. 1 520,000
April 1 30,000 May 1 60,000
June 30 100,000 July 31 90,000
Oct. 1 50,000 Sept. 31 120,000
The partnership has a profit for the period of P900,000. The profit/loss for the period is
divided in the ratio of average capital (simple average). How much is the share of Love?
600,000
502,817
397,183
Correct!
300,000
Question 14

2 / 2 pts
A, B and C formed a partnership. A will contribute cash amounting to P10,000 and B will
contribute equipment costing P10,000. The equipment have an estimated residual value
of 5% of cost and the estimated useful life is 48 months. B have already used the
equipment for 25% of its useful life. The fair value of the equipment is P12,000. On the
other hand, C will contribute his services to the partnership which is equivalent to an
annual salary of P100,000. As of the formation of the partnership, how much is the
capital contribution of B?
0
Correct!
Question 15
2 / 2 pts
Alfonso and Marco decide to form a partnership. The initial investments of the partners
will include cash of P120,000 for Alfonso and P80,000 for Marco. Alfonso will transfer
his office equipment with a book value of P96,000 and a fair market value of P84,000 to
the partnership. Marco will transfer his land fairly valued at P1,000,000 and the building
thereon fairly valued at P600,000. Marco has just bought these at a lump sum price of
P1,800,000. In addition, the partnership will assume the mortgage of P400,000 on the
building.
What will be the total capital of the partnership?
Correct!

1,494,000
1,496,000
Question 16
2 / 2 pts
Kim and Kendall formed their partnership on Jan. 2, 2020 with their following cash
contribution: Kim P350,000 and Kendall P450,000. The capital accounts of Kim and
Kendall for the year 2021 are as follows:
Kim Kendall
Date Debit Credit Date Debit Credit
Jan 1 460,000 Jan. 1 520,000
April
1
30,000 May 1 60,000
June
30
100,000 July 31 90,000
Oct.
1
50,000 Sept. 31 120,000
The Income Summary has a debit balance of P900,000.
If profit/loss for the period is divided in the ratio of ending capital, how much is the share
of Kim?
Correct!