12:08 fill (E) 6 Accounting 2... / Aeoounting 2' Assignment: In struction; Answer the following question, show your solution. Illustrative Problem A: The statement of nancial position of the partnership of Dy, Clair-idl and Diaz on December 31, 2009 follows; Assets: Liabilities and Capital Cash 100.000.00 Liabilities 30,000.00 Other Assets: menus: Dy. Capital summon Total Assets M David. Capital 60,000.00 Diazu Capital 90 000.00 Total Ijabilities and Capital m The partners share prots and losses in the ratio of 4:2:4. On July 1, 2010. Diaz asked to he allowed to withdraw from the partnership. The partners decided to dose the books as ofthese date so as to determine the capital interest ot Diaz. Profit for 6 months ended amounted P60.000 while drawings of Dy. David and Die: amount to P5.000 . P3000 and H.000. respectively. Profits and losses are to be shared equally after the retirement of Diaz. 1. 2. 3. What are the journal entries to be prepared for the retirement of Dial? What are the capital interest of each partner as of July 1. 2010? Assumption: It Die: derided to sale his interest to Taki tor P150.000.00 what is thejournal entry tor the sale of interest? Assuming the Sale of interest to the continuing partners. Diaz sold his interest to Dy and David tor P510000: the interest being divided equally by the remaining partners. Profits and losses after the retirement at Diaz will be divided equally, what is the journal entry for the sale of interest? Assuming the Sale of interest to the partnership. Diaz sold his interest to the partnership. The partners reed to make immediate cash settlement to the retiring partner. Prots and losses after the retiring of Die: will be divided equally. Case 1: Settlement to retiring partner is equal to his capital interest. The partnership paid Diaz 122.000.00. what is the journal entry? Case B Settlement is less than the capital interest of the retiring partner {at less than book valuej. The partnership paid Diaz P90,000 whid'l is P32.000 less than his capital interest of P122.000. 1. Bonus Method? 2. Asset Revaluation Method? 3. Payment to him will be recorded as? 4. Compound journal entry forthe retiring partner? Case C -5ettlement is more than the capital interest ifthe retiring partner {at more than book value]. The partnership paid Diaz P150000 which is P23,000 more than his capital interest of P122.000. 1. Bonus Method? 2. Asset Revaluation Method? 3. Payment to him will be recorded as? 4. Compound journal entry forthe retiring partner