PARTNERSHIP AND CORPORATION - DISSOLUTION

A, one of the partners in the ABC Partnership decided to buy the share of B in the partnership. Which of the following statement is not true

• Partnership assets will remain the same

• There is no need to revise the partners' equity

• Partners equity in total amount will not change

• Partnership profit and loss ratio will change

ABC Partnership decided to admit D who purchased a 20% interest from A whose capital balance was 400,000. D paid her 100,000. The effect of this transaction in the partnership is a / an

• increase in total partnership assets and total partners equity

• increase in total partnership assets, no effect in total partners equity

• increase in D, Capital and decrease in A, Capital

• Increase in A , Capital and decrease in D.Capital

A,B,C partners whose capital balances amounted to 400,000 decided to admit D who invested 80,000 cash for 15% interest in the partnership. Total Agreed capital will be equal to the capital contributions. The accountant should recognize

• asset revaluation for A, B, and C

• bonus to A, B, and C

• Bonus to D

• Asset revaluation for D

A,B,C partners whose capital balances amounted to 400,000 decided to admit D who invested 100,000 for 25% interest in a partnership. The effect of the transaction is an

• increase in partners asset and increase in partners equity

• increase in partnership assets but no increase in partners equity

• increase in capital with no corresponding increase in asset

• Increase in partnership assets and increase in partners equity

A,B,C partners whose capital balances amounted to 400,000 decided to admit D who invested 100,000 for 25% interest in a partnership. Using bonus capital the accountant should recognize

• bonus to D

• bonus to A, B, and C

• asset revaluation to A, B, and C

• no bonus nor asset revaluation

A,B,C partners whose capital balances amounted to 300,000 decided to admit D who invested 100,000 for 20% interest in an agreed capitalization is 500,000 the accountant should recognize

• asset revaluation

• bonus to D

• bonus to all

• bonus to A, B, and C