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PWU
TERM 1 SY 2022-2023

BSAC 304 ACCOUNTING FOR SPECIAL TRANSACTIONS

QUIZ- PARTNERSHIP FORMATION AND OPERATIONS
AUG 25, 2022

ANSWER SHEET

STUDENT NAME: ROLDAN, JHERALDINE MAE G. SCORE: _________

QUIZ 1 (TRUE OR FALSE)

1 TRUE 6 TRUE 11 FALSE 16 FALSE

2 FALSE 7 TRUE 12 FALSE 17 TRUE
3 FALSE 8 TRUE 13 FALSE 18 TRUE
4 FALSE 9 FALSE 14 TRUE 19 FALSE
5 TRUE 10 FALSE 15 FALSE 20 TRUE
QUIZ 2 (PROBLEM-SOLVING)

PROBLEM 1

ANSWER COMPUTATION
REQUIREMENT 1 P 1,353,800 42k + 30k + 461k + 300,800
+ 108k + 192k + 16k + 80k +
124k= 1,353,800

REQUIREMENT 2 P 250,000 200k + 50k( ½ of Dalangin’s

accounts payable, assumed
in partnership)

REQUIREMENT 3 P 619,000 42k + 461k + 108k + 192k +

16k = 819 k

819k – 200 k = 619,000

REQUIREMENT 4 P 434,800 30k + 300,800 + 80k + 124k

= 534,800

534,800 – 100k = P434,800

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JOURNAL ENTRY Debit Credit

REQUIREMENT 5 Cash P 42,000
Paid-in Capital P 42,000

REQUIREMENT 6 Cash P 30,000

Paid-in Capital P 30,000

CASE 1: SCHEDULE OF PROFIT DISTRIBUTION

RIA SHERRY FANNY TOTAL

TOTAL

1. How much is the profit share of Ria? _____?______

2. How much is the profit share of Sherry? _____?______
3. How much is the profit share of Fanny? ______?_____
4. What is the entry to record the profit distribution to the partners?

ENTRY: Debit Credit

To record profit distribution to partners.

CASE 2: SCHEDULE OF PROFIT DISTRIBUTION

Ria Sherry Fanny Totall

Total

5. How much is the profit share of Ria? _____?______

6. How much is the profit share of Sherry? _____?______
7. How much is the profit share of Fanny? ______?_____
8. What is the entry to record the profit distribution to the partners?

ENTRY: Debit Credit

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To record profit distribution to partners.

CASE 3: SCHEDULE OF LOSS DISTRIBUTION

RIA SHERRY FANNY TOTAL

TOTAL

9. How much is the loss share of Ria? _____?______

10. How much is the loss share of Sherry? _____?______
11. How much is the loss share of Fanny? ______?_____
12. What is the entry to record the loss distribution to the partners?

ENTRY: Debit Credit

To record loss distribution to partners.

PROBLEM 3

The initial investment of Kent on the partnership book: Debit Credit

Entry:

1. Kent, Capital ( 6k * 10% ) 600

Allowance for Impairment loss 600

2. Kent, Capital [ 15k – ( 15k * 80% ) ] 3,000

Inventory 3,000

3. Kent, Capital 3,200

Equipment 3,200

4. Prepaid expense 800

Kent, Capital 800

Closing entry:
Allowance for Impairment Loss 600
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Accounts payable 2,000

Kent, Capital 67,000
Cash 8,000
Accounts receivable 6,000
Inventory 12,000
Prepaid expense 800
Equipment 3,200

The initial investment of Barbie on the partnership books: Debit Credit

Entry:

1. Barbie, Capital ( 10k * 10% ) 1,000

Allowance for Impairment loss 1,000

2. Barbie, Capital [ 10k – ( 10k * 80% ) ] 1,000

Inventory 1,000

3. Barbie, Capital
Accumulated Depreciation- Equipment

4.Barbie, Capital 650

Accrued Expense 650

Closing entry:

Allowance for Impairment Loss 1,000

Accumulated Depreciation-Equipment 850

Accrued Expense 650

Barbie, Capital 31,200

Cash 12,000

Accounts receivable 10,000

Inventory 4,000

Equipment 6,000