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  3. 3. the balance sheet as of june 30, 2011 for the p

3. The balance sheet as of June 30, 2011 for the partnership of Diz, Dio,...

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Accounting

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3. The balance sheet as of June 30, 2011 for the partnership of Diz, Dio, and Div shows the following information Total Assets 720,000 Diz, Loan Diz, Capital Dio, Capital Div, Capital Total Liabilities and Capital 40,000 166,000 154,000 360,000 720,000 It was agreed among them that Diz retires from the partnership and was further agreed that the assets be adjusted to their fair value of 816,000 as of June 30,2011. The partnership would pay Diz 242,000 cash for Diz's partnership interest and includes the payment of loan to Diz. Diz, Dio, and Div share profits and losses 25%, 25%, and 50%, respectively. What is Div's capital balance after the retirement of Diz? a. 240,000 b. 400,000 c. 408,000 d. 720,000 4. B, M and T are partners with capital balances of 100,000, 140,000 and 180,000, respectively. They share profits and losses in the ratio of 20:40:40. T decides to withdraw from the partnership receiving 220,000 including a loan to the partnership in the amount of 10,000. Assuming the use of asset revaluation method, how much is the amount of asset revaluation increase (decrease)? a. 30,000 b. 75,000 C. (30,000) d. (75,000)

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