Mathematics, 21.02.2021 14:00 luvme68297
Ipo and Man, partners in the Karate Company have capital balances of P300, 000 and P120,
000 respectively. Lee is to be admitted into the partnership with 20% interest in the business.
Required:
Record the admission of Lee for each of the following independent situations:
a. Lee invests P180, 000, and recognized the undervaluation of inventory.
b. Lee invest P180, 000, Total capital is to be P600, 000.
c. Lee purchases 20% of Ipo and Man by paying P100, 000.
d. Lee invests P96, 000 and total capital is to be P 516,000.
e. Lee invests P96, 000 and recognized overvaluation of land.
f. Ip and Man assign 20% of their interest to Lee.
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Answers: 1
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Ipo and Man, partners in the Karate Company have capital balances of P300, 000 and P120,
000 respec...
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