On March 1, 20x7, E and F formed a partnership with each contributing the following assets:

The building is subject to a mortgage loan of P80,000, which is to be assumed by the partnership. The partnershipagreement provides that E and F share profits and losses at 30% and 70% respectively. Assuming that thepartners agreed to bring their respective capital in proportion to their P & L ratios, and using F capital as the base. Compute the capital account balance of F on March 1, 20x7

. a. P510,000 b. P460,000 c. P430,000 d. P350,000

Transcribed Image Text:

Cash Office Equipment Building Furniture& Fixtures E 20,000 100,000 30,000 F 50,000 80,000 300,000 Cash Office Equipment Building Furniture& Fixtures E 20,000 100,000 30,000 F 50,000 80,000 300,000

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