Lump sum liquidation with loss on realization of non-cash assets, exercise right of offset, and absorption...

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Lump sum liquidation with loss on realization of non-cash assets, exercise right of offset, and absorption of loss problem solving Monica, Grace, and Rose are partners in MGR Furniture Store business. The assets, liabilities, and capital balances as of July 31, 2020 were: Other Assets Liabilities Monica, Loan Monica, Capital Grace, Capital Rose, Capital P 240,000 80,000 10,000 60,000 20,000 70,000 On August 4, the partners decided to liquidate the business. They share profits and losses in the ratio of 3:1:1, respectively. The assets were sold for P100,000 and the liabilities were paid. The partners will invest cash to eliminate any capital deficiency except for Monica who has no other asset and cannot cover any deficiency in her capital account. Required: Compute for the share of Rose in the final cash settlement. Lump sum liquidation with loss on realization of non-cash assets, exercise right of offset, and absorption of loss problem solving Monica, Grace, and Rose are partners in MGR Furniture Store business. The assets, liabilities, and capital balances as of July 31, 2020 were: Other Assets Liabilities Monica, Loan Monica, Capital Grace, Capital Rose, Capital P 240,000 80,000 10,000 60,000 20,000 70,000 On August 4, the partners decided to liquidate the business. They share profits and losses in the ratio of 3:1:1, respectively. The assets were sold for P100,000 and the liabilities were paid. The partners will invest cash to eliminate any capital deficiency except for Monica who has no other asset and cannot cover any deficiency in her capital account. Required: Compute for the share of Rose in the final cash settlement.

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