The Balance Sheet as of June 30, 2021 for the partnership of Vasquez, Watson and Ylagan...

Transcribed Image Text:

The Balance Sheet as of June 30, 2021 for the partnership of Vasquez, Watson and Ylagan shows the following information: Total Assets, P360,000; Vasquez, Capital, P103,000; Watson, Capital, P77,000; Ylagan, Capital, P180,000. It was agreed among the partners that Vasquez retires from the partnership. With this, the partnership would pay Vasquez, P121,000 cash for his partnership interest. Vasquez, Watson and Ylagan share profits and losses, 25%, 25% and 50%, respectively. Their interest ratio on the other hand is 3:5:1, respectively. What are the capital balances of the partners after the retirement of Vasquez? The Balance Sheet as of June 30, 2021 for the partnership of Vasquez, Watson and Ylagan shows the following information: Total Assets, P360,000; Vasquez, Capital, P103,000; Watson, Capital, P77,000; Ylagan, Capital, P180,000. It was agreed among the partners that Vasquez retires from the partnership. With this, the partnership would pay Vasquez, P121,000 cash for his partnership interest. Vasquez, Watson and Ylagan share profits and losses, 25%, 25% and 50%, respectively. Their interest ratio on the other hand is 3:5:1, respectively. What are the capital balances of the partners after the retirement of Vasquez?

Answer rating: 100% (QA)

To determine the capital balances of the partners after the retirement of Vasquez we need to conside... View the full answer