. Del Mundo, Ballada and Mendoza are partners sharing profit on a 7:2:1 ratio. Burgos was admitted into the partnership with the 15% share in profit on Jan. 1, 2019. The old partners continue to share profit in their original ratios. For the year 2019, the partnership showed a profit of P15,000. However, it was discovered that the following items were omitted in the firm’s books. Unrecorded year-end: 2018 2019 Accrued Expense P1,050 Accrued Income 875 Prepaid Expense P1,400 Unearned Income 1,255 The share of Ballada in the 2019 profit is a. P2,197.50 b. P2,637.00 c. P2,490.50 d. P3,149.75

SWFT Comprehensive Vol 2020
43rd Edition
ISBN:9780357391723
Author:Maloney
Publisher:Maloney
Chapter4: Gross Income: Concepts And Inclusions
Section: Chapter Questions
Problem 12DQ
icon
Related questions
Question

5. Del Mundo, Ballada and Mendoza are partners sharing profit on a 7:2:1 ratio. Burgos was admitted into
the partnership with the 15% share in profit on Jan. 1, 2019. The old partners continue to share profit in
their original ratios.
For the year 2019, the partnership showed a profit of P15,000. However, it was discovered that the
following items were omitted in the firm’s books.
Unrecorded year-end: 2018 2019
Accrued Expense P1,050
Accrued Income 875
Prepaid Expense P1,400
Unearned Income 1,255
The share of Ballada in the 2019 profit is
a. P2,197.50
b. P2,637.00
c. P2,490.50
d. P3,149.75

Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Partners and Partnerships
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
SWFT Comprehensive Vol 2020
SWFT Comprehensive Vol 2020
Accounting
ISBN:
9780357391723
Author:
Maloney
Publisher:
Cengage
SWFT Individual Income Taxes
SWFT Individual Income Taxes
Accounting
ISBN:
9780357391365
Author:
YOUNG
Publisher:
Cengage
Individual Income Taxes
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT
SWFT Essntl Tax Individ/Bus Entities 2020
SWFT Essntl Tax Individ/Bus Entities 2020
Accounting
ISBN:
9780357391266
Author:
Nellen
Publisher:
Cengage
SWFT Corp Partner Estates Trusts
SWFT Corp Partner Estates Trusts
Accounting
ISBN:
9780357161548
Author:
Raabe
Publisher:
Cengage
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning