Advanced Accounting.Guerrero.2008.Chapter02

20 Chapt Cha pter er 2

CHAPTER 2 MULTIPLE CHOICE ANSWERS AND SOLUTIONS 2-1: d

Jordan

Pippen

Annual salary P200,000 Balance, equally ( 20,000 )

P120,000

P80,000

( 10,000)

( 10,000)

Total P180,000

P110,000

P 70,000

JJ

KK

LL

Bonus (.20 X P90,000) P 18,000 Interest JJ (.15 X P100,000) KK (.15 X P200,000) !! (.15 X P00,000) 90,000 Balance, equally ( 18,000 )

P18,000

–

P15,000

– P 0,000

–) –) P"5,000)

( #,000)

( #,000)

( #,000)

Total profit share P 90,000

P27,000

Total

2-2: a

Total

P 24,000

–

P39,000

2-3: a 2-4: a

Total Interest Allan $ .10 X (P"0,000 % #0,000 &2) 'cael $ .10 X (P#0,000 % *0,000&2) P 11,500 Balance, equally ++28,000 Total

Allan

Michael

P 5,000

) P #,500)

+1",000

+1",000

P 19,000

P2 P 20,500 P 28

,000 2-5: a

Fred

Greg

Henry

P12,000

P #,000

P ",000

Total

Interest (.10 o a-erae ca/tal) P 22,000

t co/lents ro tt/&&e-erytn.reelaat.co

3alares 50,000 Balance, equally (105,000)

0,000

20,000

( 5,000)

( 5,000 )

P 7,000

( P29,000 )

Total

( 5,000) (P11,000 ) (P 3

3,000) 2-6: b

A-erae 4a/tal Date

Capital Balance

January 1 July 1 Auust 1

1"0,000 180,000 1#5,000

Months Unchanged

Peso Months

# 1 5

P 8"0,000 180,000 ++825,000

12

P1,8"5,000

A-erae ca ca/tal $ P1,8"5,000&12



P15,*50

Interest

=

P 15,375

(P153,750 X 10%)

Partnership Operations

21

2-7: c

Date

January 1 A/rl 1 June 1 3e/te6er 1

Capital Balance

Months Unchanged

P1#,000 1*,#00 19,200 15,200

!era"e #apital(P201,$0012) #apital(P201,$0012) =

Peso Months

 2  "

P "8,000 5,200 5*,#00 ++#0,800

12

P201,#00

P1$,800

2-8: a

7et /rot 6eore 6onus 6onus 7et /rot ater 6onus (P2",000&120) (P2",000&120)

P 2",000 ++20,000

Bonus to J Balance (P2",000$P",000)X&5

",000 ++12,000

Total profit share

P 1$,000

2-: a

LT

AM

Total

Interest 3alares Balance, 2

P,200 15,000 (11,580)

P ,#00 *,500 ( *,*20)

P #,800 22,500 ( 19,00)

Total

P $,$20

P 3,380

P 10,000

2-1!: b

7e 7et nco coe at ater salary, ry, nt nteres erestt an: 6onus A:: A:: 6ac; 6ac; 3al 3alar ary y (P10 (P10,0 ,000 00 X 12) 12)

P"#*,500 P120 P120,0 ,000 00


Interest (P250,000 X .05)

++12,500

+12,500

7et ncoe ater 6onus (80) 7et ncoe 6eore 6onus (P#00,000&80)

P#00,000 +*50,000

Pa&l's on&s

P150,000

2-11: b

CC

DD

EE

3alary

Total

P 1",000 P 1",

000 Balance 28,000 A::tonal /rot to << ++++++–

P1",000

P 8,"00

( 1,500)

++2,100

Total

P12,500

P10,500

Net inco!e =ees >arne: >?/enses

P90,000 +"8,000

7et Incoe

P"2,000

5,#00 (

#00)

P 19,000 P 42

,000

22 Chapter 2

2-12: c

Interest

LL

MM

NN Total

P 2,000

P 1,250

8,500

–

–

9,500

5,*00

,800

+++++–

++*,050

+++++–

P20,000

P1",000

P ",550 P 8,

P *50 P ",

000 Annual 3alary 8,500 A::tonal /rot to -e !!, P20,000 19,000@ A::tonal /rot to -e '', P1",000 ++*,050 otal

550 @(P9,500&50)  P19,000 2-13: a

""

>?cess (

##

TT

Total

P15,000 –

– (P10,000)

–) –)

+"*,500

+5,#25

+11,8*5

P$2,500

P25,$25

P11,875

Net $nco!e

%&''(''' ) *''('''+ ,

2-14: b

AA $ 100,000 X 10 150,000 X 20 P "0,000 ean:er, 210,000 BB (#0,000 X .05) 44 (#0,000 X .05) #,000 Balance, equally +20",000 Total P250,000

P*''(''' AA P 10,000 0,000

BB

CC

Total ) )

P ,000

) P ,000

++#8,000

+#8,000

+#8,000

P108,000

P71,000

P71,000

2-15: a

AJ

Bonus to 4J 7et /rot 6eore 6onus P"",000 7et /rot ater 6onus (P"",000&110)P"0,000 – – P",000 Interest to BJ – 1,000 3alares P 10,000 22,000 Balance, ""2 ++#,800 +1*,000 Total P44,000

P 1$,800

BJ

CJ

Total

P",000 P1,000

–

–

12,000

+#,800

++,"00

P7,800

P19,400

2-16: c

otal /rot sare o Pe:ro !ess 3alary to Pe:ro Interest

P200,000 P 50,000 ++20,000

++*0,000

3are n te 6alance ("0)

P10,000

7et /rot ater salary an: nterest (10,000&"0) A:: otal 3alares otal Interest

P25,000 P150,000 ++*0,000

Total Partnership Ino*e

+220,000 P545,000


23

2-17: c

7et ncoe 6eore e?traor:nary an an: 6onus (#9,#00$12,000) 7et ncoe ater 6onus (5*,#00&120)

P 5*,#00 +"8,000

Bonus to 

P 9,#00

<str6uton o 7et Incoe JJ


""

Total

Bonus Balance, equally

– P 2",000

P 9,#00 2",000

P 9,#00 "8,000

7et /rot 6eore e?traor:nary an >?traor:nary an

P 2",000 ++",800

P ,#00 ++*,200

P 5*,#00 +12,000

Total

P 28,800

P 40,800

P $9,$00

Mel

Jay

Total

Interest Annual 3alary ean:er #0"0

P 20,000 #,000 ++#0,000

P 12,000 – +"0,000

P 2,000 #,000 +100,000

Total

P11$,000

P 52,000

P1$8,000

D-

JE

F"

P 15,000

P ,*50

(P *,500)

( #,8*5)

( 22,125)

( 1",*50)

(P 21,875 )

(P 18,375 )

2-18: a

2-1: a

Interest on e?cess (
Total

(P 22,250 ) (P $

2,500) 2-2!: c

4orrecton o 1998 /rot 7et ncoe /er 6oo;s n:erstateent o :e/recaton C-erstateent o n-entory,
P 19,500 ( 2,100) ( 11,"00)

A:Duste: net ncoe

P #,000 Pete

"ico Total

<str6uton o net ncoe /er 6oo; >qually

P 9,*50

P 9,*50 P 19,

<str6uton o a:Duste: net ncoe >qually

( ,000)

( ,000) ( #,

P $,750

P $,750

500

000) +e&ire- .erease P 13,500 2-21: a

Tiger

3alares P1#",000 Interest 5",000 Bonus (P#0,000$P5",000)X.25 *#,500 ean:er, 0*0 ++#5,500


.oods Total

P #",000

P100,000

2",000

0,000

*#,500 ++19,#50

– ++"5,850

Total P3$0,000

P184,150

P175,850

Holly

Field

Total

3alares 4osson Interest Bonus, sce:ule 1 ean:er, #0"0

P 20,000 – 2,000 0,000 ++5,#"0

– P 25,000 ,#00 – +2,*#0

P 20,000 25,000 #5,#00 0,000 ++59,"00

Total

P117,$40

P 82,3$0

P200,000

24 Chapter 2

2-22: a

#ched/le * 7et ncoe 6eore salary, cosson, nterest an: 6onus !ess salares

P200,000 ++20,000

7et ncoe 6eore 6onus 7et ncoe ater 6onus (P180,000&120)

P180,000 +150,000

Bonus

P 0,000

2-23: a

Mi0e

Tyson

4a/tal 6alance, 6ennn P1,000,000 A::tonal n-estent 00,000 4a/tal t:raal

P#00,000

P"00,000

100,000

200,000

$200,000

( 100,000)

4a/tal 6alance 6eore /rot an: loss :str6uton P1,000,000

P500,000

P500,000

P200,000

P00,000 P 50

++#0,000

++"0,000

otal

P2#0,000

P"0,000 P #0

otal P1,#00,000
P*#0,000

P8"0,000

( 200,000)

( 00,000) ( 5

P5$0,000

P540,000

Total

+$

00,000

7et ncoe 3alary 0,000 Balance, 2 ++100,000 0,000

00,000) #apital alane, en P1,100,000

A1erage Capital ) King2 Capital


Months

Peso

Date

Balance

January 1 A/rl 1

P"0,000 55,000

Unchanged

Months

 9

P120,000 +"95,000

12

P#15,000

Months Unchanged

Peso Months

A-erae ca/tal – P#15,000&12  P51,250 A1erage Capital ) 3/een2 Date

Capital Balance

January 1 A/rl 1

P100,000 10,000

* 5

P*00,000 ++#50,000

12

P1,50,000

A-erae ca/tal $ P1,50,000 & 12 P112,500 Partnership Operations

25

2-24: d

<str6uton o 7et Incoe $ 3ce:ule 1 King

3/een

Total

Interest Bonus, 3ce:ule 2 3alares es:ual, 5050

P 5,125 12,*25 25,000 ( 2,050)

P11,250 – 0,000 +(2,050)

P1#,*5 12,*25 55,000 +(",100)

otal

P"0,800

P9,200

P80,000

#ched/le &

7et ncoe 6eore allocaton !ess Interest

P80,000 +1#,*5

7et ncoe 6eore 6onus 7et ncoe ater 6onus (P#,#25&125)

P#,#25 +50,900

Bonus

P12,*25

4a/tal Balance
3/een

Total

4a/tal 6alance, January 1 A::tonal n-estent 4a/tal 6alance 6eore /rot an: loss :str6uton 7et ncoe (3ce:ule 2)
P"0,000 +15,000

P100,000 ++0,000

P1"0,000 ++"5,000

P55,000 "0,800 ( 20,800)

P10,000 9,000 ( 20,800)

P185,000 80,000 ( "1,#00)

#apital alane, .ee*er 31

P75,000

P148,400

P223,400

2-25: d

otal rece/ts (P1,500,000 % P1,#25,000) >?/enses

P,125,000 ( 1,080,000)

7et ncoe

P2,0"5,000


<str6uton to Partners +e- / P1,500,000P3,125,000 X P2,045,000 = Blue – P1,#25,000&P,125,000 X P2,0"5,000 

P 981,$00 (1) +1,0#,"00

P2,0"5,000 4a/tal 6alance o Blue
P *",000 +++22,000 P 9#,000 1,0#,"00 ( *50,000) P 709,400 (2)

26 Chapter 2

2-26: a

"ay

#a!

P150,000

P180,000

+++++++

++#0,000

150,000

2"0,000

15,000

20,000

51,000

",000

##,000

5",000

otal 510,000 3alares +"2,000

21#,000

29",000

+18,000

+2",000

otal 552,000
2",000

18,000

(18,000)

(2",000)

Total

4a/tal 6alances, 'arc 1 P0,000 A::tonal n-estent, 7o-. 1 ++#0,000 4a/tal 6alances 6eore salares, /rot an:
#apital alanes, e 28 P510,000

P21$,000

P294,000

#/san

Tanny

2-27: a


Total

4a/tal 6alances, 1&1 P180,000 A::tonal n-estent, "&1 8,000 4a/tal t:raals, *&1 +(#,000)

P150,000

P0,000

8,000

Balances 6eore /rot :str6uton 182,000 Prot :str6uton Interest 2*,"50 Bonus (20 ? P0,000) #,000 Balance, equally (,"50)

+++++++

(#,000)

158,000

2",000

2,"00

",050 #,000

otal

(1,*25)

(1,*25)

21,#*5

+8,25

1*9,#*5

2,25

(12,000)

(12,000)

0,000 otal 212,000
P1$7,$75

P20,325

P188,000


27

2-28: a

#in

4a/tal 6alances, 6e. 1st year P00,000 !oss :str6uton, 1st year 3alares 0,000 Interest 0,000 Balance, 52


P110,000

Tan

P80,000

20,000

Uy Total

P110,000

10,000

11,000

8,000

11,000

("0,000)

(1#,000)

(2",000)

(80,000) otal

( 9,000)

( 8,000)

( ,000)

101,000

*2,000

10*,000

(10,000)

(10,000)

(10,000)

91,000

#2,000

9*,000

(20,000) otal 280,000
20,000

10,000

9,100

#,200

9,*00

( *,500)

( ",500)

( ,000)

21,#00

+1,*00

1#,*00

112,#00

#,*00

11,*00

+(10,000)

(10,000)

+(10,000)

P102,$00

P53,700

P103,700

"0,000 otal 290,000
Jay

4a/tal 6alances, 1&1&0# P90,000 A::tonal n-estent, 200# 4a/tal t:raal, 200# +(9,000)

P0,000

Kay

Loi Total

P0,000

P0,000

+(5,000)

+(",000)

5,000 5,000 ++++++

4a/tal 6alances 8#,000 Prot :str6uton, 200# Interest 3alary Balance, equally ++,000

25,000

2#,000

,000 *,000 +1,000

,000 +1,000

,000 9,000 *,000 +1,000

4a/tal 6alances, 1&1&0* 105,000 A::tonal n-estent, 200* 4a/tal t:raal, 2002 (11,000)

#,000

0,000

9,000

5,000

5,000 ++++++

+(,000)

4a/tal 6alances 99,000 Prot :str6uton, 200* Interest 10,500 3alary Balance, equally ++",500

"1,000

2*,000

1,000

,#00

,000

,900

*,000 +1,500

+1,500

+1,500

4a/tal 6alances, 1&1&08

5,100

1,500

#,"00


5,000 +(8,000)

*,000

121,000 A::tonal n-estent, 2008 4a/tal t:raal, 2008 +(#,000)

#,000 #,000 +(2,000)

++++++

+(",000)

5,100

2*,500

"0,"00

5,10

,150

,#"0

*,000 ++,00

++,00

++,00

4a/tal 6alances, 12&1&08 /er 6oo;s P150,000 n:erstateent o :e/recaton (#,000)

P#8,*10

P,950

P"*,"0

-&ste- apital alanes, 123108 P144,000

4a/tal 6alances 121,000 Prot :str6uton, 2008 Interest 12,100 3alary Balance, equally +++9,900

(2,000)

*,000

(2,000)

(2,000)

P$$,710

P31,950

P45,340

Ken

Len

Mon

28 Chapter 2

2-3!: a

Total

4a/tal 6alances, 1&1&0* P00,000 A::tonal n-estent, 200* "0,000 4a/tal t:raal, 200* ( 20,000) Balances 20,000 Prot :str6uton, 200* (3ce:ule 1) 3alary #0,000 Balance, 6e. 4a/tal rato #0,000 4a/tal 6alances, 1&1&08 ""0,000 4a/tal t:raal, 2008 ( #0,000) Balances 80,000 Prot :str6uton, 2008 3alary #0,000 Balance, 6e. ca/tal rato


P100,000

P100,000

P100,000

"0,000 ( 20,000)

+++++++

+++++++

80,000

1"0,000

100,000

#0,000 20,000

20,000

20,000

100,000

1#0,000

180,000

( 20,000)

( "0,000)

+++++++

80,000

120,000

180,000

#0,000 ++1,##

++21,818

++2",5"#

++#0,000 #apital alanes, 123108 P500,000

P 93,$3$

P141,818

#ched/le * 4 Co!p/tation o5 net pro5it2 otal ca/tal, 2008 (P#"*,500 – P1"*,500) otal ca/tal, 200* (P00,000 % P"0,000 – P80,000)

P2$4,54$

P500,000 +2#0,000

otal /rot or 2 years

P2"0,000

7et /rot /er year (P2"0,000 & 2)

P120,000

2-31: d

4a/tal 6alance, 1&1&08 A::tonal n-estent Et:raals 4a/. 6al. 6eore P&! :st. 7P 3alary (1#,500 ? 12) Interest on >4 (15) Balance 250"5 otal #apital alane 123108

+ Nardo 6 P280,000 9#,000 *#,000 $ "2,000 ( 19,8*5 ) 22,125 P398,125

667rly P00,000 #0,000 ( 90,000 ) 2*0,000 198,000 "5,000 ( 2,850 ) 219,150 P 489,150

66Pedro6 P1*0,000 $ ( *2,000 ) 98,000 $ 25,500 ( 5,**5 ) ( 10,2*5 ) P 87,72

6Total6 P*50,000 15#,000 (1#2,000) *"",000 198,000 112,500 (*9,500 ) 21,000 P975,000

2-32: d

3a ca/tal, 6ennn A::tonal n-estent (!an:)
P120,000 #0,000 ( 80,000 ) 100,000 150,000 50,000 P125,000


29

2-33: a

++ Joe66 P 80,000

4a/tal 6alance, 1&2&0* 7et loss$ 200* Annual salary 9#,000 10 nterest on 6e. ca/tal 8,000 Bal. 6e. ca/. rato 8" ( 108,000) otal ( ",000) 4a/tal 6alance *#,000

66To!66 P "0,000

66Total66 P120,000

"8,000 ",000 ( 5",000) ( 2,000) 8,000 ( ",000) ",000

1"",000 12,000 ( 1#2,000) ( #,000) 11",000 ( 8,000) 10#,000

"8,000 ,"00

( #*,00)

1"",000 10,#00 2,000 ( 1",#00)

otal otal
*,900 109,900 ( ",000)

#apital alane, 123108

( 15,900) 18,100 ( ",000)

22,000 128,000 ( 8,000)

14,100

120,000

105,900

2-34: a

P #0,000 ( 10,000) 25,000 "5,000 P150,000

30

Chapter 2

SOLUTIONS TO PRO"LEMS P#$b%&' 2 ( 1

1)

4astro <aF

 

(P2#,000&P"2,500) ? (P1#,500&P"2,500) ?

P2,800 P2,800

 

P1",5#0 ++9,2"0 P2,800

2)

4astro <aF

 

(P1,250&P50,000) ? (P18,*50&P50,000) ?

P2,800 P2,800

 

P1",8*5 ++8,925 P2,800

Co!p/tation o5 A1erage Capitals2 Ca*+#$:


Capital

Months

Peso

Date

1&1..................................... "&10................................... 5&1..................................... 8&1.....................................

Balances

Unchanged

P2#,000 29,000 #,000 2,000

A-erae ca/tal  P*5,000 ÷ 12 onts  D,a:

 1  5

P *8,000 29,000 108,000 +1#0,000

12

P*5,000

P1,250

Capital Date Balances 1&1..................................... P1#,500 #&1..................................... 21,500 9&1..................................... 19,500

Months Unchanged 5  "

Peso Months P 82,500 #",500 ++*8,000

12

P225,000

A-erae ca/tal  P225,000 – 12 onts 

P18,*50

Castro

3)

Dia8

Total

Interest........................................................ 3alares........................................................ Balance, equally..........................................

P *,500 #,000 ( 2",100)

P",500 2",000 (2",100)

P12,000 #0,000 ( "8,200)

otal............................................................

P19,"00

P ","00

P2,800

Castro

Dia8

4)

P

Total

Bonus %a+.................................................... Interest %9+................................................... Balance, 2................................................

P ",*#0 1,100 +10,*#"

– – +*,1*#

P ",*#0 1,100 +1*,9"0

otal............................................................

P1#,#2"

P*,1*#

P2,800


31

Co!p/tations2 a. 7et /rot 6eore 6onus................................................ 7et /rot ater 6onus %P&:(;'' ÷ *&<=+ .....................

P2,800 +19,0"0

Bonus...........................................................................

P ",*#0

6.

5)

Months

4astro <aF

A-erae ca/tal o 4astro G%P&>(''' ? P:&('''+ ÷ 2H........................... A-erae o <aF G%P*>(<'' ? P*;(<''+ ÷ 2H.........................................

P29,000 +18,000

4astros e?cess....................................................................................... 'ult/ly 6y............................................................................................

P11,000 +++10

Interest...................................................................................................

P 1,100

 

(P,000&P5,000) ? P2,800 (P2,000&P5,000) ? P2,800

 

P1",280 ++9,520 P2,800


P#$b%&' 2 ( 2

a)

!era"e #apital6 +oin Date

Jan. 1 =e6. 28 A/r. 0 3e/t. 0

Balances

P15,000 95,000 1*5,000 195,000

A-e. 4a/tal (P1,920,000 oo-6

Months Unchanged

÷

Peso Months

2 2 5 

P2*0,000 190,000 8*5,000 ++585,000

12

P1,920,000

12)  P1#0,000

Date

Balances

Jan. 1 'ar. 1 June 0 Au. 1 Cct. 1

P1"0,000 200,000 150,000 220,000 200,000

Months Unchanged

Peso Months

  2 2 2

P"20,000 #00,000 00,000 ""0,000 ++"00,000

12

P2,1#0,000

A-e. 4a/tal (P2,1#0,000 ÷ 12)  P180,000 Profit .istri&tion  o6n  P1#0,000 ÷ P"0,000 ? P510,000  oo:  P180,000 ÷ P"0,000 ? P510,000 

P2"0,000 +2*0,000 P510,000

32

Chapter 2

"o9in

Hood

Total

Interest on a-e. ca/tal......................................... 3alares................................................................ Bonus (P510,000 – 0,#00 – 1#0,000) ? 25).... Balance, equally..................................................

P 1","00 #0,000 *8,850 +119,**5

P 1#,200 100,000 – +119,**5

P 0,#00 1#0,000 *9,850 +29,550

otals...................................................................

P2*",025

P25,9*5

P510,000

"o9in

Hood

Totals

2"9,000

P #,000 2"9,000

P 12,000 "98,000

255,000

255,000

510,000

"o9in

Hood

Total

b)

c)

Interest o6n (P195,000 – P15,000) 10............. oo: (P200,000 – P1"0,000) 10.............. Balance, equally.................................................. otals................................................................... d)


P #,000

3alares................................................................ Bonus (see co/utatons 6elo)......................... Balance, equally..................................................

P 80,000 #2,000 +12",000

P120,000 +12",000

P200,000 #2,000 +2"8,000

otals................................................................... P2##,000 P2"",000 Bon/s Co!p/tations  7et ncoe 6eore salares an: 6onus..................................................... !ess 3alares...........................................................................................

P510,000 P510,000 200,000

7et ncoe 6eore 6onus......... ............................................................... 7et ncoe ater 6onus (P10,000 ÷ 125)............................................

10,000 +2"8,000

Bonus......................................................................................................

P #2,000

P#$b%&' 2 ( 3 a.

De -illa

De -era

Total

P 0,000

– P 20,000 1,200 9,818 ++"",182

P 0,000 20,000 #",000 19,## ++88,#"

otal.................................................................... P11#,800 P105,200 Bon/s Co!p/tations  Incoe 6eore salary, cossons, nterest  6onus............................. 3alary an: cosson (P0,000 % P20,000).......................................... Interest....................................................................................................

P222,000 P222,000 ( 50,000) ( #",000)

Incoe 6eore 6onus............................................................................... Incoe ater 6onus (P108,000 ÷ 110)..................................................

108,000 +98,182

Bonus......................................................................................................

P 9,818

3alares................................................................ 4osson (2 ? P1,000,000).......................... Interest o 8 on a-erae ca/tal......................... Bonus (see co/utatons 6elo)......................... Balance, equally..................................................

b)

2,800 9,818 ++"",182

Incoe 3uary.................................................
P 222,000 11#,800 105,200


33

P#$b%&' 2 ( 4

East

North

.est

Total

3alares............................................... Bonus (see co/utaton 6elo).......... Interest (see co/utaton 6elo)........ Balance, ".....................................

P15,000 ,*#0 2,800 ++,180

P20,000

P18,000

",000 ++,180

",800 ++",2"0

P5,000 ,*#0 11,#00 +10,#00

otal ...................................................

P2",*"0

P2*,180

P2*,0"0

P*8,9#0

Bon/s co!p/tations  7et ncoe 6eore 6onus...... ... ................................................................. 7et ncoe ater 6onus (P*8,9#0 ÷ 105)................................................

P*8,9#0 +*5,200

a)

Bonus........................................................................................................ $nterest co!p/tations2 >ast (10 ? P28,000)...............................................................................


P ,*#0 P 2,800

7ort (10 ? P"0,000)......... .................................................................... Eest (10 ? P"8,000)..............................................................................

",000 ++",800

otal..........................................................................................................

P11,#00

East

North

.est

Total

Interest (see co/utatons 6elo)...... 3alares............................................... Bonus (see co/utatons 6elo)........ Balance, equally.................................

P ,1 2",000

P 5,200 25,000

( #,05#)

P ,# 21,000 ",280 ( #,055)

( #,055)

P11,9## *0,000 ",280 ( 18,1##)

otal ...................................................

P 21,0**

P 22,858

P 2",1"5

P #8,080

b)

$nterest co!p/tations  A-erae ca/tals >ast Date

1&1 5&1 9&1

Balances

Months Unchanged

Pesos Months

P0,000 #,000 28,000

" " "

P120,000 1"",000 +112,000

12

P*#,000

A-erae ca/tal (P*#,000

÷

12) .........................................

7ort

P 1,

Date

Balances

Months Unchanged

Pesos Months

1&1 &1 *&1 9&1

P"0,000 1,000 #,000 "0,000

2 " 2 "

P80,000 12",000 *2,000 +1#0,000

12

P"#,000

A-erae ca/tal (P"#,000

÷

12)..........................................

34

P #, Chapter 2

Eest Date

Balances

1&1 "&1 #&1 8&1

P50,000 5*,000 #0,000 "8,000

A-e. ca/tal (P#2",000

Months Unchanged

Pesos Months

 2 2 5

P150,000 11",000 120,000 +2"0,000

12

P#2",000

12)...................................

P 52,000

$nterest Co!p/tations  >ast (10 ? P1,)........................................................... 7ort (10 ? P#,)......................................................... Eest (10 ? P52,000)..........................................................

P ,1 ,# ++5,200

otal... ..................................................................................

P 11,9##

÷


Bon/s Co!p/tations  7et ncoe........................................................................... !ess 3alary...........................................................................

P #8,000 +21,000

7et ncoe 6eore 6onus...................................................... 7et ncoe ater 6onus (P"*,080 ÷ 110)...........................

"*,080 +"2,800

Bonus to 7ort..................................................................... @ o otal

P ",280

East

.est

Total

Bonus (see co/. 6elo).................... 3alares .......................................... Interest on 6ennn ca/tal............... ean:er, 8*5................................

8,990 P21,000 P 18,000 – ,000 ",000 5,000 +1,180 +11,52.50 ++8,2*.50

P 8,990 9,000 12,000 +2,950

otal..................................................

P*,180 P,52.50 P22,22*.50

P92,9"0

Bon/s Co!p/tations  7et ncoe 6eore salares  6onus.......................................................... !ess 3alares (P21,000 % P18,000)............................................................

P92,9"0 +9,000

7et ncoe 6eore 6onus...... ... ................................................................. 7et ncoe ater 6onus (P5,9"0 ÷ 120)................................................

P5,9"0 +"",950

Bonus to Eest...........................................................................................

P 8,990

c)

North

P

P#$b%&' 2 ( 5 a)

#ched/le o5 $nco!e Distri9/tion2 Maria

Clara

"ita

Total

3alares. .. ........................................... Interest (see co/utaton on /. 0)..... Balance, equally.................................

P12,000 *,200 ++,1

P10,000 9,#00 ++,1

P 8,000 1,800 ++,1"

P0,000 0,#00 ++9,"10

otal ..................................................

P22,

P22,*

P2",9"

P*0,000


35

$nterest on A1erage Capital2 'ara P80,000 ? 8 ? # onts....................... P100,000 ? 5 ? # onts..................... 4lara P120,000 ? 8....................................... ta P180,000 ? 8 ? 9 'os.. . ...................... P150,000 ? 8 ?  'os... ......................

P ,200 ++",000

9,#00 P10,800 ++,000

otal ............................................................... b)

P *,200

+1,800 P0,#00

#tate!ent o5 Partners Capital 

Balances, Jan. 1..................................

Maria

Clara

"ita

Total

P 80,000

P120,000

P180,000

P80,000


A::tonal In-estent........................ 4a/tal Et:raal............................. 7et Incoe.........................................
20,000 – 22, ( 10,000)

– – 22,* ( 10,000)

– ( 0,000) 2",9" ( 10,000)

20,000 ( 0,000) *0,000 ( 0,000)

Balance,
P112,

P12,*

P1#",9"

P"10,000

Benny

Celia

Total

P#$b%&' 2 ( 6

1)

A%%$ca+,$. $/ .&+ %$** /$# 2!!8:

Al1in

2)

3alary to Al-n................................... Interests on a-erae ca/tal Al-n (P120,000 ? 10)............ Benny (P200,000 ? 10)........... 4ela (P220,000 ? 10)............. Balance, 00"0...............................

P 20,000

(29,"00)

otal..................................................

P 2,#00

P20,000

12,000 20,000 +(29,"00)

22,000 +(9,200)

5",000 +(98,000)

P( 9,"00)

P(1*,200)

P(2",000)

S+a+&'&.+ $/ Pa#+.&#*0, Ca,+a% &a# E.d&d D&c&'b&# 31 2!!8

Al1in

Benny

4a/tals, January 1, 2008.................... A::tonal n-estents....................... 4a/tal t:raals............................

P120,000

P180,000 #0,000 ++++++++

Balances. ........................................... 7et loss (see a6o-e)............................

120,000 ++2,#00

Balances. ...........................................
122,#00 +(1#,000)

4a/tals,
+++++++

P10#,#00

Celia

P220,000 "0,000 +(20,000)

P520,000 100,000 +(20,000)

2"0,000 ++(9,"00)

2"0,000 +(1*,200)

#00,000 +(2",000)

20,#00 +++++++

222,800 +++++++

5*#,000 +(1#,000)

P20,#00

P222,800

36

3)

Total

P5#0,000 Chapter 2

C$##&c+,. &.+#:

4ela ca/tal........................................ 2,"00 Al-n ca/tal............................... 2,200 Benny ca/tal............................. 200 o correct ca/tal accounts or error n loss allocaton co/ute: as ollos Al1in

Benny

4orrect loss allocaton........................ Actual loss allocaton.........................

P2,#00 ++("00)

P(9,"00) ++9,#00

P(1*,200) ++1",800

A:Dustent.........................................

P2,200

P

P ( 2,"00)

200

Celia

P#$b%&' 2 ( 7

Dino


Nelson

7scar

Total

4a/tal 6alances, 1&2&0#.............................. A::tonal n-estent, 200#.......................

P"5,000 +15,000

P"5,000 +15,000

P"5,000 ++#,000

P15,000 ++#,000

Balances. .................................................... #0,000 7et ncoe (!oss) $ 200#, equally.............. (1,800) Et:raals, 200#...................................... (1*,000)

#0,000 ( 1,800) ( *,000)

51,000 ( 1,800) ( ,200)

1*1,000 ( 5,"00) ( 2*,200)

4a/tal 6alances, 12&1&0#.......................... A::tonal n-estent, 200*.......................

"1,200 +++++–

51,200 +++++–

"#,000 ++#,000

18,"00 +++#,000

Balances. .................................................... "1,200 7et ncoe $ 200*, "0 0 0..................... 10,800 Et:raals, 200*...................................... (1*,000)

51,200 8,100 ( *,000)

52,000 8,100 ( ,200)

1"","00 2*,000 ( 2*,200)

4a/tal Balances, 12&1&0*.......................... 5,000 A::tonal n-estent, 2008....................... ++++++–

52,00 ++++++–

5#,900 +++#,000

1"",200 +++#,000

Balances. .................................................... 5,000 7et ncoe, 2008 (sce:ule 1).................... 5#,#5 Et:raals, 2008...................................... (19,000)

52,00 "2,2*2 ( 9,000)

#2,900 20,# ( ,200)

150,200 120,000 ( 1,200)

4a/tal 6 alances, 12&1&08..........................

P*2,#5

P8#,5*2

P80,0#

P29,000

Dino

Nelson

7scar

Total

Annual salares................................... P"8,000 Bonus (see co/utatons 6elo)........ – Interest................................................ ,#00 Balance, equally................................. +@ ",*#5

P2",000 10,909 ,#00 ++",*#

P12,000 – ,#00 ++",*#

P8",000 10,909 10,800 ++1",291

otals..................................................

P",2*2

P20,#

P120,000

Bon/s co!p/tations2 7et ncoe 6eore 6onus...... ... ............................................................. 7et ncoe ater 6onus (P120,000 ÷ 110)..........................................

P120,000 +109,091

Bonus to 7elson....................................................................................

P 10,909

#ched/le *2

P5#,#5

@ o otal Partnership Operations

37 P#$b%&' 2 ( 8 R&d W0,+&  "%& Pa#+.&#*0, S+a+&'&.+ $/ Pa#+.&#* Ca,+a% 9$# &a# E.d&d D&c&'b&# 31 2!!8

Balances, 6ennn o year A:: 20 o ees 6lle: to /ersonal clents Mreens sare o ees (>?6t A) eann net ncoe (>?6t A) 3u6totals !ess Et:raals ncollect6le accounts :ente: t clents o eac /artner >?cess rent care: to Blue otal :e:uctons Balances, en: o year

"ed

.hite

Bl/e

Green

Total

"0,200 8,800

20,200 ",800

"0,#00 ","00

+22,800

+22,800

+11,"00

+*1,800

+"*,800

+5#,"00

++,200

1*9,200

10,"00

8,800

11,#00

5,000

5,800

2,"00

900

P101,000 18,000 ,200 ,200 ++++++ +5*,000

1,800

,00 1,800

P12,800

P 9,*00

P1,"00

P 5,000 P "0,900

P59,000

P8,100

P",000

P (1,800) P18,00


R&d W0,+&  "%& Pa#+.&#*0, E0,b,+ A ( C$'+a+,$. a.d D,;,*,$. $/ N&+ ,.c$'& 9$# &a# E.d&d D&c&'b&# 31 2!!8

otal re-enue ro ees >?/enses, e?clu:n :e/recaton an: :ou6tul accounts e?/ense !ess >?cess rent care: to 7 (N00 ? #)

P120,000 P8,*00 ++1,800

3u6total A::
#,900 2,#00 ++++500

otal e?/enses, e?clu:n :ou6tul accounts e?/ense A::
P"0,000 ++1,800 "1,800 ++++++++

7et ncoe or year en:e:
P *8,200

<-son o net ncoe =ees 6lle: to /ersonal clents e: P"",000 ? 20 Ete P2",000 ? 2 Blue, P22,000 ? 20 Mreens sare o ees Mross ees ro ne clents ater A/rl 1, Oear 1 !ess Allocate: e?/enses (N"0,000 ? N2",000& N120,000)

P 8,800 "8,000 ","00

P18,000

2",000 ++8,000

7et ncoe ro ne clents Mreens sare (P1#,000 ? 20) otal :-:e: /ursuant to s/ecal areeent

P1#,000 P ,200 ++21,200

Balance, :-:e: n ncoe$sarn rato as ollos o e:, "0 o Ete, "0 o Blue, 20

P 5*,000 P22,800 22,800 +11,"00

otal

P5*,000 Chapter 2

38

P#$b%&' 2 (  A%%a. E'a. a.d <,.$ Pa#+.&#*0, S+a+&'&.+ $/ P#$/,+ D,*+#,b+,$. &a# E.d&d D&c&'b&# 31 2!!8

Allan

E!an

Interest 4osson (P1#,120 – P5,000) ? 10 Balance, equally

P ",000 – ++5,92#

P *50 1,112 +5,925

P 250 P 5,000 1,112 2,22" +5,925 +1*,**#

otal A:Dustents (50 o P25,000 to Allan)

P 9,92# ++2,5*"

P*,*8* (1,28*)

P*,28* P25,000 (1,28*) +++++–

otal

P12,500

P#,500

P#,000 P25,000


Gino

Total

P#$b%&' 2 ( 1!

Gary

#onny

Letty

Total

4a/tal 6alances, 1&1&08 A::tonal n-estents

P210,000 +++9,100

P180,000 +++++++

P 90,000P"80,000 +++++++ ++9,100

otal Prot :str6uton 3alares Interest Bonus to Mary an: 3onny (3ce:ule 1) Balance, equally

+219,100

+180,000

+90,000 "89,100

1,#80 25,920 – ++(9,*20)

11,520 21,#00 – +(9,*20)

5,8"0 58,20 – +(9,*20)(29,1#0)

otal

++29,880

+2,"00

+11,*20 +#5,000

otal
2"8,980 +(21,000)

20,"00 (18,000)

101,*20 55",100 ++(9,000)

4a/tal 6alances, 12&1&08

P22*,980

P185,"00

10,#"0 10,800

P 92,*20P50#,100

#ched/le *2 Co!p/tation o5 the 9on/s@

7et /rot 6eore nterest, salares an: 6onus !ess3alares Interest

P #5,000 P5,8"0 +58,20

7et /rot (loss) 6eore 6onus

++9",1#0 P(29,1#0)

ereore no 6onus s to 6e -en to Mary an: 3onny. Partnership Operations

39

P#$b%&' 2 ( 11

a. >ntres to recor: te oraton o te /artners/ an: te e-ents tat occurre: :urn 2008 4as In-entory !an: >qu/ent 'ortae /aya6le Installent note /aya6le Ko6e, ca/tal (P#00,000 % P800,000 % P1,000,000 – P200,000) !e6ron, ca/tal (P500,000 % P1,00,000 $ P500,000)


1,100,000 800,000 1,00,000 1,000,000 500,000 200,000 2,200,000 1,00,000

(1)

(2)

()

(")

(5)

(#)

(*)

(8)

In-entory 4as Accounts /aya6le

00,000 2"0,000 #0,000

'ortae /aya6le Interest e?/ense 4as

50,000 20,000

Installent note /aya6le Interest e?/ense 4as

5,000 20,000

Accounts rece-a6le 4as 3ales

*0,000

55,000 210,000 1,"0,000 1,550,000

3elln an: eneral e?/enses 4as Accrue: e?/enses /aya6le

"0,000

#0,000

Ko6e, :ran !e6ron, :ran 4as 3ales

2*8,000 #2,000

#0,000 10",000 10",000 208,000 1,550,000

Incoe suary (9)

4ost o oo:s sol: In-entory P900,000  P800,000 6ennn n-entory % 00,000 /urcases $ 200,000 en:n n-entory

1,550,000 900,000 900,000

40

Chapter 2

Incoe suary 4ost o oo: sol: 3elln an: eneral e?/enses
1,"0,000 900,000 "0,000 #0,000 "0,000

Incoe suary Ko6e, ca/tal !e6ron, ca/tal

210,000

Ko6e, ca/tal !e6ron, ca/tal

10",000 10",000


105,000 105,000

Ko6e, :ran !e6ron, :ran

10",000 10",000

3ce:ule to allocate /artners/ net ncoe or 2008 Ko9e Prot /ercentae #0 Bennn ca/tal 6alance P2,200,000 P,500,000 7et ncoe (P1,550,000 re-enue $ P 1,"0,000 e?/enses) Interest on 6ennn ca/tal 6alances () ##,000 (105,000 )

Le9ron "0 P1,00,000

Total 100

210,000 9,000 P105,000

3alares (2"0,000 ) P(15,000) es:ual :ect (15,000 ) otal 6.

120,000

120,000

(81,000)

(5",000)

P105,000

P105,000

$0$

=$b&-L&b#$. Pa#+.&#*0, I.c$'& S+a+&'&.+ 9$# +0& &a# E.d&d D&c&'b&# 31 2!!8

3ales P1,550,000 !ess 4ost o oo:s sol: In-entory, January 1 Purcases Moo:s a-ala6le or sale !ess In-entory,
P800,000 00,000 P1,100,000 (200,000) P#50,000 "0,000 #0,000

"00,000 P250,000 ("0,000) P210,000


c.

41

=$b&-L&b#$. Pa#+.&#*0, "a%a.c& S0&&+ A+ D&c&'b&# 31 2!!8

Assets 4as


P1,589,000

Accounts rece-a6le In-entory !an: >qu/ent (net) otal assets

210,000 200,000 1,00,000 9"0,000 P",29,000 !a6ltes an: 4a/tal

!a6ltes Accounts /aya6le Accrue: e?/enses /aya6le Installent note /aya6le 'ortae /aya6le otal la6ltes 4a/tal Ko6e, ca/tal !e6ron, ca/tal otal ca/tal otal la6ltes an: ca/tal


P#0,000 #2,000 1#5,000 "50,000 P**,000 P2,201,000 1,01,000 ,502,000 P"29,000

Advanced Accounting.Guerrero.2008.Chapter02

Recommend Documents