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A partnership is basically a

Which of the following statements best describes the fundamentals of the partnership's profit or loss dirstribution?

The accounting method used for partnership operation is

If partner's personal expenses are paid by the partnership, the payment is charge to be

The following partner would share in the losses of the partnership, except

Which of the following partners would receive a profit share equal to the share of a capitalist partner having the smallest profit ration in the absence of profit agreement?

The computation of the partners’ share in the profits and losses of the partnership becomes more complex because of the

In the absence of any agreement, profits and losses are divided

The total assets of the partnership may increase upon admission of a new partner by purchase of interest.

Admission of a new partner by investment will change total assets and total capital.

Which of the following will not result in the dissolution of a partnership?

When a partner invests non-cash assets into the partnership, these assets should be recorded at

Two or more persons may form a partnership for the exercise of a profession

Partners' investments may include which of the following?

A partner whose liability for partnership debts is only to the extent of what he has invested in the partnership is called a/an

Which of the following is not a characteristic of partnerships?

On January 1, 2021, Aga and Ace formed a partnership and agreed to share profits and losses in the ratio of 3:7, respectively. Aga contributed a parcel of land that cost him P100,000. Ace contributed P400,000 cash. The land was sold for P180,000 immediately after the formation of the partnership. What amount should be recorded in Aga's capital account for his investment?

If there is agreement as to the distribution of profit but no stipulations as to the distribution of loss, any partnership loss shall be shared by partners

What is cash flow?

Bess and Gail executed a partnership agreement that lists the assets contributed by the partners as follows: Bess, cash of P20,000 and furniture and equipment worth P15,000; Gail, cash of P30,000, inventory and building valued at P15,000 and P40,000, respectively. The building is subject to a mortgage of P10,000, which the partnership assumed. What amounts should be credited to the capital of Bess and Gail, respectively?

On April 30, 2020, Azon, Apin and Bern formed a partnership by combining their assets. Azon contributed cash of P50,000. Apin invested property with a book value of P36,000, a P40,000 original cost, and a fair value of P80,000. The partnership assumed the P35,000 mortgage liability attached to the property. Bern contributed equipment with a book or carrying value of P30,000, original cost of P75,000, and a fair value of P55,000. Who among the partners will be credited with the highest amount to his/her capital account?

A partnership should always be constituted in writing

When the partnership capital is P3,000 or more, the public instrument must be recorded with the Securities and Exchange Commission.

One of the partners in a partnership is a multi-millionaire. The provision in the partnership contract that this partner shall be excluded from sharing in the partnership profits is valid.

A partnership with a capital of P3,000 or more is valid even if it is not registered with the Securities and Exchange Commission.

A partnership has a limited life because any change in the relationship of the partners dissolves the partnership.

A ratio of 1:3:2 is the same as

At the beginning of 2020, the statement of financial position for R & R Company showed the capital balances of the partners as follows: Rev, P24,000 and Rio, P26,000. They share profits and losses in the ratio of 3:7 to Rev and Rio, respectively. During the year, the firm incurred a loss of P40,000. The withdrawals during the year were: Rev, P10,000, and Rio, P18,000. What is the capital balance of Rev on Dec 31, 2020?

Periodic withdrawals by partners are best viewed as

Which of the following items in the property, plant, and equipment section of the statement of financial position are not depreciated?