Onate,Guillermo and Cumagun sharing profits on 5:3:2 ratio.On Jan 1,2015,Aglugob was admitted in the partnership with a 10% share in profits. The old partners continue to participate in profits in their original ratios. For 2015, the profit of

Onate,Guillermo and Cumagun sharing profits on 5:3:2 ratio.On Jan 1,2015,Aglugob was admitted in the partnership with a 10% share in profits. The old partners continue to participate in profits in their original ratios. For 2015, the profit of the partnership was reported as P12500. However, it was discovered that the following items were omitted in the firms book:

Unrecorded at yr end 2014 2015

Prepaid Expense 800

Accrued Expense 600

Unearned Income 700

Accrued Income 500

The new profit and loss ratio for Guillermo and the share of partner Cumagun in the 2015 profit would be.

New Profit sharing ratio

Onate 90%x50%=45%

Guillermo 90%x30%=27%

Cumagun 90%x20%= 18%

Aglugob 20%Agreed

Profit Unadjusted:

12,500

Accrued Expense

(600)

Accrued Income

500

Prepaid Expense

(800)

Unearned Income

700

Profit Adjusted:

12300x18%=

P2214(Cumagun)

Buboy,Little and Love are partners sharing profits on 6:3:1 ratio.Rence was admitted into the partnership with 20% share in profit on Jan 1,2015. The old partners continue to participate in profits in their original ratios. For 2015, the profit of the partnership was reported as P100,000. However, it was discovered that the following items were omitted in the firms book:

Unrecorded at yr end 2014 2015

Accrued Expense

1050

Accrued Income 875

Prepaid Expense

1400

Unearned Income

1225

The share of Little in 2015 profit is:

New Profit sharing ratio

Buboy 80%x60%=48%x 100,000=48000

Little80%x30%=24%x100,000=24000

Love80%x10% =8%x100,000=8000

Rence20%Agreed20%x100,000=20000

Profit Unadjusted:

100,000

Accrued Expense

0

Accrued Income

0

Prepaid Expense

0

Unearned Income

0

Profit Adjusted:

100,000