A, B and C were partners with capital balances on January 1, 2020, of 100,000, 150,000, and

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A, B and C were partners with capital balances on January 1, 2020, of 100,000, 150,000, and 200,000 respectively. Their profit and loss ratio is 50%, 30% and 20%, respectively. On July 1, 2020, A retires from the partnership. On the date of retirement, the partnership net income is 140,000 and the partners agreed that inventories are to be revalued at 70,000 from their original cost of 50,000. The partnership agreed further to pay A, 195,000 in settlement of his interest. What are the capital balances of the remaining partners after the retirement of A using the bonus method?

Posted Date: Oct 13, 2021 01:50 AM

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A, B and C were partners with capital balances on January 1, 2020, of 100,000, 150,000, and

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Perez Reyes Suarez Capital Balances 100000 150000 200000 Net Income 70000 42000 2... View the full answer

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