Instruction: Show the necessary solution and write your final answer in this manner. Answer Sheet: 1 2. 3. 4. 5. 6. 7. 8. 9. 10. Part II. Short Problems 1. Elsa and Perla form a new partnership, Elsa invests P300,000 in cash for her 60% interest in the capital and profits of the business. Perla contributes land that has an original cost of P45,000 and a fair market value of P75,000, and a building that has a tax basis of P60,000 and a fair market value of P90,000. The building is subject to a P40,000 mortgage that the partnership will assume. What amount of cash should Perla contribute? 2. On April 30, 2021, XX, YY and ZZ formed a partnership by combining their separate business proprietorships. XX contributed cash of P50,000. YY contributed property with a P36,000 book value, a P45,000 original cost and P75,000 fair value. The partnership accepted responsibility for the P35,000 mortgage attached to the property. ZZ contributed equipment with a book value of P35,000, a P65,000 original cost and P55,000. The partnership agreement specifies that profits and losses are to be shared equally but is silent regarding capital contributions. Which partners has the largest April 30, 2021, capital balance? 3. The statement of financial position as of July 1, 2021 for the business owned by Charlie Borja shows the following assets and liabilities: Cash Accounts Receivable Merchandise inventory Fixtures Accounts Payable P2,500 10,000 15,000 18,000 6,000 It is estimated that 5% of the receivables may prove uncollectible. Merchandise inventory includes obsolete items costing P5,000. Depreciation ha never been recoded, the fixtures are two years old, have an estimated useful life of 10 years and would cost P20,000 if currently purchased. Arce is to be admitted as a partner upon his investment of P20,000 cash and P15,000 worth of merchandise. Compute for the total assets of the partnership? 4. JR and his very close friend AJ formed a partnership on January 1, 2021 with JR contributing P16,000 cash and AJ contributing equipment with a book value of P6,400 and fair value of P4,800 and inventory items with a book value of P2,400 and fair value of P3,200. During 2021, JR made additional investment of P1,600 on April 1 and P1,800 on June 1 and on September 1, he withdrew P4,000. Aj had no additional investments nor withdrawals during the year. Compute for average capital balance at the end of 2021 for JR? 5. Tria and Resulta established a consultancy partnership in 2021. They will work full time in the firm. Tria will make an initial investment of P450,000 and Resulta, P350,000. According to the partnership agreement, profit and loss is to be divided among the partners as follows: a). 10% interest on their capital balances accounts at the beginning of the year and, b). Salary allowances of P175,000 for Tria and P155,000 for Resulta, c). bonus of 10% of net income after bonus to Tria, and the remainder to be divided equally. d). The partnership profit reported a net income of P350,000. Compute the share of Tria?