1/6/22, 10:22 AM AFAR Quiz 1

AFAR Quiz 1
CPA Refresher Course- November batch for May 2022 CPALE

The respondent's email (null) was recorded on submission of this form.

1. Email *

2. Name (Last, First, M.I.) *

QUIZ PROPER

Given 1-3

3. 1. The total partnership capital after formation is * 1 point

Mark only one oval.

x 300,000

260,000

360,000

420,000

4. 2. The entry to record the contribution of B includes * 1 point

Mark only one oval.

Debit to cash for P60,000

A credit to A’s capital for P140,000

All of these

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5. 3. The adjusted capital of B after the formation, using the bonus approach, is * 1 point

Mark only one oval.

100,000

200,000

x 60,000

240,000

Given 4

6. 4. How much is the correct valuation of A’s capital immediately after the partnership formation? * 1 point

Mark only one oval.

A. 460,000

x B. 580,000

C. 650,000

D. 720,000

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Given 5-6

7. 5. How much LV’s share in the net income of the partnership? * 1 point

Mark only one oval.

x A. 189,475

B. 189,064

C. 171,975

D. 164,475

8. 6. By how much did the capital balance of CL change during the calendar year 2021 from the date of partnership 1 point
formation? *

Mark only one oval.

269,050
x 259,050

234,050

222,050

Given 7-8

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9. 7. How much is the net income of the partnership during 2022? * 1 point

Mark only one oval.

1,017,500

1,045,000

1,254,000

x 1,306,625

10. 8. How much is the capital balance of CW at the end of the year? * 1 point

Mark only one oval.

x 1,650,000

1,639,550

1,597,750

1,592,250

Given 9-10

11. 9. What is the capital balance of D after his admission to the partnership? * 1 point

Mark only one oval.

1,000,000

1,400,000

x 1,120,000

1,200,000

12. 10. What is the capital balance of C after the admission of D to the partnership? * 1 point

Mark only one oval.

888,000

x 792,000

2,272,000

1,560,000

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1/6/22, 10:22 AM AFAR Quiz 1

Given 11-12

13. 11. Noncash assets amounting to P22,200,000 were sold at book value and the rest of the noncash assets were sold 1 point
at a loss of P12,600,000. Compute the total amount of cash distributed to the partners. *

Mark only one oval.

x 24,000,000

13,200,000

22,200,000

35,400,000

14. 12. Upon liquidation of the partnership, C will receive: * 1 point

Mark only one oval.

11,790,000

16,200,000

20,610,000
x 13,590,000

Given 13-14

15. 13. Assuming there is an implied asset revaluation upward/downward, what is the capital balance of C after 1 point
admission of D on January 1, 2021? *

Mark only one oval.

x 426,000

710,000

840,000

1,116,000

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16. 14. Assuming there is an implied asset revaluation upward/downward, what is the under/over valuation of the certain 1 point
asset? *

Mark only one oval.

3,200,000 under

3,200,000 over

2,300,000 under
x 2,300,000 over

Given 15

17. 15. Compute the proceeds from the sale of other assets * 1 point

Mark only one oval.

3,450,000
x 3,200,000

1,800,000

2,050,000

Given 16

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18. 16. Compute the proceeds from the sale of the remaining assets in order for Partner F to receive a total of 1 point
P3,950,000 cash after liquidation. *

Mark only one oval.

7,750,000
x 8,000,000

7,500,000

8,250,000

Given 17-18

19. 17. What is the estimated amount available for preferred claims and unsecured creditors out of assets pledge with 1 point
fully secured creditors? *

Mark only one oval.

200,000

x 260,000

270,000

320,000

20. 18. What is the total amount of net free assets? * 1 point

Mark only one oval.

200,000

240,000
x 270,000

320,000

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1/6/22, 10:22 AM AFAR Quiz 1

Given 19 - 20

21. 19. If all the assets were sold at their realizable values and all the liabilities were settled at their expected settlement 1 point
amounts, how much will the partially secured creditors receive? *

Mark only one oval.

A. 76,000

x B. 84,000

C. 96,000

D. 104,000

22. 20. If all the assets were sold at their realizable values and all the liabilities were settled at their expected settlement 1 point
amounts, how much will the unsecured creditors receive? *

Mark only one oval.

A. 84,000

B. 96,000

C. 124,000
x D. 156,000

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