CC admits DD as a partner in business. Accounts in the ledger for CC on November 30, 20x4, just before the admission of DD, show the following balances: Cash... P 6,800 Accounts Receivable... 14,200 Merchandise Inventory.. 20,000 Accounts Payable. . 8,000 CC, Capital... 33,000 It is agreed that for the purposes of establishing CC's interest the following adjustments shall be made: 1. An allowance for doubtful accounts of 3% of account receivable is to be established. 2. The merchandise inventory is to be valued at P23,000. 3. Prepaid salary expenses of P600 and accrued rent expense of P800 are to be recognized.
Q: ABC, a sole proprietor, agreed to form a partnership with EFG in a business. Accounts in the ledger…
A: Fund Contribution of New Partner: An owner or partner may make a capital donation to a firm or…
Q: On August 1, SS and UR pooled their assets to form a partnership, with the firm to take over their…
A: Adjustment entries in the books of SS Particulars Debit Credit Capital account 1000…
Q: The capital accounts of Angel Alvarez and Emma Allison have balances of $47,000 and $73,000,…
A: Statement of partnership equity is represented as below: Note: As there is no reference for the…
Q: On January 02, 2019, the business assets and liabilities of Gail Anne & Precious were as…
A: Capital = Assets-Liabilities
Q: M and N admits O as a new partner. The partnership statement of financial position immediately…
A: Partnership is the type of business in which two or more individuals join hands to start a new…
Q: Two sole proprietors, L and M, agreed to form a partnership on January 1, 20x4. The trial balance…
A: The question is related to Partnership Accounting. In the given question trial balance as on January…
Q: Musa Moshref and Shaniqua Hollins have operated a successful firm for many years, shar- ing net…
A: 1.The journal entries as of June 30 is as follows:
Q: 27. The capital balance of King on January 1, 2007 before adjustment is:
A: 26. The net income of the partnership in 2007, before adjustment cannot be calculated as…
Q: A admits B as partner in business. Accounts in the ledger for A on October 31, 2020, just before the…
A: Solution: Fair value of Net Asset of A on admission of B Particulars Amount Cash…
Q: 11. Mary admits Jane as a partner in the business. Balance sheet accounts of Mary just before the…
A: Partnership means where two or more person comes together to do some common business activity and…
Q: The ledger of Camila Ramirez and Ping Xue, attorneys-at-law, contains the following ac- counts and…
A: Prepare income statement.
Q: The capital accounts of Angel Alvarez and Emma Allison have balances of $105,000 and $77,000,…
A: The partnership comes into existence when two or more persons joins together to run the business and…
Q: Moira admits Joni as a partner in the business. Balance sheet accounts of Moira just before the…
A:
Q: Cara admits Dana in her business as a partner. At November 30, 2010, prior to the admission of Dana,…
A: In the given question, need to find out capital of Cara before adjustments. First capital for the…
Q: Ali, Ben and Cathy have been in partnership for many years sharing profits and losses based on the…
A: Dissolution or realisation account: Realisation account is prepared at the time of dissolution of…
Q: appropriation account and the current account for
A: Paul and Carl are partner sharing profit in their capital ratio i e 4 : 1 In trial balance Capital…
Q: Y admits Z for a partnership in his business. The balance sheet accounts of Y on November 30, 2023…
A:
Q: Adee admitted Das as a partner in a business. The balance sheet of Adee on July 30, 2019 before the…
A: Adjustment as the time of introduction of a partner is to be adjusted with fair values of the asset…
Q: Faith Busby and Jeremy Beatty started the B&B partnership on January 1, Year 1. The business…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: At April 30, partners’ capital balances in Crane Company are G. Donley $ 54,080, C. Lamar $ 49,920,…
A: Journal entries are the primary reporting of the transactions taking place in the usual course of…
Q: On June 1, Jungkook and Jimin decides to continue their businesses and form a partnership. Statement…
A: In case of formation of partnership firm, the existing assets and liabilities of two separate…
Q: Moira admits Joni as a partner in the business. Balance sheet accounts of Moira just before the…
A: This question deals with the concept of admission of new partner. When new partner enters in the…
Q: ng is Telinig inom the the accountant na posted the revaluation and closing entries, the credit…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: Adee admitted Das as a partner in a business. The balance sheet of Adee on July 30, 2019 before the…
A: The question is related to Partnership Accounting. The question is of admission of a patner for 1/3…
Q: Maria admits Daisy as a partner in the business. Financial position accounts of Maria on September…
A: A partnership is a form of business activity; partnership is the deed or relation between two or…
Q: ge, please answer it based on your knowledge, thank you!) Rachel agrees to bring in inventory with…
A: Given: The data as follows, a) capital accounts will remain fixed; b) 12% interest profit computed…
Q: Blake Kredell owns and operates a retail business called Blake's Camera Shop. His post closing trial…
A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…
Q: AB Partnership admits C as a new partner. The statement of financial position before the admission…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: Adee admitted Das as a partner in a business. The balance sheet of Adee on July 30, 2019 before the…
A: The partnership comes into existence when two or more persons come toget to do the business and…
Q: A Sole Proprietor and an Individual with No Business Form a Partnership On Apr. 8, 2020, Tolentino…
A: The Indian Partnership Act, 1932 defines Partnership in the following terms: “ Partnership is the…
Q: Adee admitted Das as a partner in a business. The balance sheet of Adee on July 30, 2019 before the…
A: A partnership is a legally binding agreement between two or more people to run and operate a firm…
Q: The following info relates to the partnership of MacDonald and Marto, who run a retail business,…
A: A business entity the work of which is carried on by one or more than one individuals (partners) for…
Q: 50,000, Merchandise Inventory, P170,000, Accounts Payable, P52,000. It was agreed that for…
A: In a partnership, two or more parties agree to operate and manage a business and share the profits…
Q: Dexter Thomas and Herman Walker, attorneys, operate a law practice. They would like to expand the…
A: Comment- Multiple Question Asked. Partnership- It refers to the joint assent among more than one…
Q: Purkerson, Smith, and Traynor have operated a bookstore balances were as follows: a number of years…
A: A partnership is an agreement wherein 2 or more people agree to work together for a common motive.
Q: A sole proprietor and an Individual with No business Form a Partnership On Apr. 8, 2020, Tolentino…
A: Partnership: It is a type of business form. Under this business form, two or more individuals…
Q: Moira admits Joni as a partner in the business. Balance sheet accounts of Moira just before the…
A: In a partnership, two or more parties agree to operate and manage a business and share the profits…
Q: A Sole Proprietor and an Individual with No Business Form a Partnership On Apr. 8, 2019, Tolentino…
A: The following calculations are done for Tolentino marketing to show the capital contributions in…
Q: In Sandhill Co., capital balances are Irey $39,300 and Pedigo $56,900. The partners share income…
A: The question is based on the concept of Business Transaction Analysis.
Q: 8. Bruce and Rachel agree to form a partnership on July 1. Bruce, who has been trading as a sole…
A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Azad and Benny are equal partners. Their capitals are Rs. 40,000 andRs. 80,000, respectively. After…
A:
Q: The information given below was extracted from the accounting records of Britar Traders, a…
A:
Q: The following transactions of Best Pizza, owned by Reyes, Ortiz and Flores, took place from March 1…
A: Partnership refers to the association amongst two or more people to carry on the common business…
Q: Adee admitted Das as a partner in a business. The balance sheet of Adee on July 30, 2019 before the…
A: The partnership comes into existence when two or more persons come together to do the business and…
Q: On January 31, 20x5, partners of Lon, Mac & Nan, LLP, had the following loan and capital account…
A: The details of the partnership firm are listed below. Loan, Mac and Nan’s loan and capital are…
Q: March 1, 20Y8, Eric Keene and Renee Wallace form a partnership. Keene agrees to invest $23,400 in…
A: Journal entry is the practice of recording commercial transactions for the first time in the books…
Q: Selected accounts from the Pearson, Gomez, and Litt Partnership adjusted trial balance for the year…
A: Classified Balance sheet: A Balance sheet is a statement that shows the assets and liabilities held…
Q: Moira admits Joni as a partner in the business. Balance sheet accounts of Moira just before the…
A: The required amount to be brought by Joni for 2/5 interest in the partnership would be computed…
Q: A Sole Proprietor and an Individual with No Business Form a Partnership On Apr. 8, 2020, Tolentino…
A: Journal is a place where accounting transactions are listed in the book keeping system before ledger…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- (c) On December 31, the capital balances and income ratios in Bismillah Company are as follows. Capital Balance Tk. 100,000 80,000 50,000 Income Ratio 50% 30% 20% Partner Abu Bakar Umar Usman Instructions (1) Journalize the withdrawal of Usman under each of the following assumptions. (i) Each of the continuing partners agrees to pay Tk. 30,000 in cash from personal funds to purchase Usman's ownership equity. Each receives 50% of Usman's equity. (ii) Umar agrees to purchase Usman's ownership interest for Tk. 35,000 cash. (iii) Usman is paid Tk. 60,000 from partnership assets, which includes a bonus to the retiring partner. (iv) Usman is paid Tk. 42,000 from partnership assets, and bonuses to the remaining partners are recognized.Z admits A as a partner in business. Accounts in the ledger for Z on November 20, 2018, just before the admission of A, show the following balances: Cash Accounts Receivable Merchandise Inventory Prepaid expense Accounts Payable Z, Capital P 6,800 14,200 20,000 1,000 9,000 33,000 It is agreed that the purposes of establishing Z's interest the following adjustments shall be made: a) An allowance for doubtful accounts of 3% of accounts receivable is to be established b) The merchandise inventory is to be valued at P23,000. c) Prepaid salary expenses of P600 and accrued rent expense of P800 are to be recognized. A is to invest sufficient cash to obtain a 1/3 interest in the partnership. (1) Z's adjusted capital before the admission of A; and (2) the amount cash investment by A:Please create the journals and balance sheet and using correct chart of accounts and labels and amount descriptions. Only answer using what i have provided. On March 1, 20Y8, Eric Keene and Renee Wallace form a partnership. Keene agrees to invest $20,900 in cash and merchandise inventory valued at $55,950. Wallace invests certain business assets at valuations agreed upon, transfers business liabilities, and contributes sufficient cash to bring her total capital to $60,390. Details regarding the book values of the business assets and liabilities, and the agreed valuations, follow: Wallace’s Ledger Agreed-Upon Balance Valuation Accounts Receivable $19,370 $18,480 Allowance for Doubtful Accounts 1,240 1,520 Equipment 83,050 54,330 Accumulated Depreciation 29,920 – Accounts Payable 14,980 14,980 Notes Payable (current) 35,860 35,860 The partnership agreement includes the following provisions regarding the division of net income: interest on original…
- Marie admits nelly as a partner in business. Just before the partnership's formation, Marie books showed the following Cash 2,600 Accounts receivable 12,000 Merchandise inventory 18,000 Accounts payable 6,200 Mark, Capital 26,400 It was agreed that, for purposes of establishing Marie investment in the firm, the following adjustments shall be reflected: . Allowance for bad debts of 2% should be set up. • Merchandise inventory should be valued at P20,200. • Prepaid expenses of P350 and accrued expenses of P400 should be recognized. Using the same information in no. 2. If nelly contributed an equipment with carrying value of P4,000 and fair value of P4.500, how much cash was contributed for a one-fifth interest in the partnership?On January 31, 20x4, partners of Lon, Mac & Nan Partnership, had the following loan and capital account balances (after closing entries for January): Loan receivable from Lon P20, 000 Dr Loan payable to Nan 60, 0o 0 Cr Lon, capital 30,000 Dr Mac, capital 120,000 Cr Nan, capital 70,000 Cr(c) On December 31, the capital balances and income ratios in Bismillah Company are as follows. Capital Balance Tk. 100,000 80,000 50,000 Partner Abu Bakar Umar Income Ratio 50% 30% Usman 20% Instructions (1) Journalize the withdrawal of Usman under each of the following assumptions. (i) Each of the continuing partners agrees to pay Tk. 30,000 in cash from personal funds to purchase Usman's ownership equity. Each receives 50% of Usman’s equity. (ii) Umar agrees to purchase Usman’s ownership interest for Tk. 35,000 cash. (iii) Usman is paid Tk. 60,000 from partnership assets, which includes a bonus to the retiring partner. (iv) Usman is paid Tk. 42,000 from partnership assets, and bonuses to the remaining partners are recognized. (2) If Umar's capital balance after Posada's withdrawal is Tk. 100,600, what were (1) the total bonus to the remaining partners and (2) the cash paid by the partnership to Posada?
- A admits B as a partner in business. Accounts in ledger for A on October 31, 2021, just before the admission of B show the following balances: Cash: 50,000 Accounts Receivable: 110,000 Notes Receivable: 20,000 Inventories: 50,000 Accounts Payable: 30,000 It is agreed that for the purposes of establishing A's interest, the following adjustments shall be made: An allowance for doubtful accounts of 5% of accounts receivable is to be established. An inventory amounting to 10,000 is worthless. Prepaid expenses of 1,000 and accrued expense of 2,000 are to be recognied. An interest of 10% on notes receivable amounting 10,000 dated April 30,2020 is to be accrued. B is to invest sufficient cash to obtain a 1/4 interest in the partnership. Determine the amount of cash investment by Partner B.PROBLEM: Moira admits Joni as a partner in the business. Balance sheet accounts of Moira just before the admission of July shows: Cash, P43,000, Accounts Receivable, P150,000, Merchandise Inventory, P170,000, and Accounts Payable, P52,000. It was agreed that for purposes of establishing Moira’s interest, the following adjustments should be made: 1.) an allowance for doubtful accounts of 3% of accounts receivable is to be established; 2.) merchandise inventory is to be increased by P25,000; and 3.) prepaid expenses of P7,600 and accrued liabilities of P4,800 are to be recognized. QUESTION: If Joni is to invest sufficient cash to obtain 2/5 interest in the partnership, what amount should she contribute to the new business? (Good Accounting Form)In Crane Co, capital balances are frey $37.900 and Pedigo $45.400. The partners share income equally Vernon is admitted to the firm with a 42% interest by an investment of cash of $48,000. Journalize the admission of Vernon. (Credit account titles are automatically indented when amount is entered. Do not indent manually) Account Titles and Explanation Debit Credit
- Z admits A as a partner in business. Accounts in the ledger for Z on November 20, 2018, just before the admission of A, show the following balances: Cash P 6,800Accounts Receivable 14,200Merchandise Inventory 20,000Prepaid expense 1,000Accounts Payable 9,000Z, Capital 33,000 It is agreed that the purposes of establishing Z's interest the following adjustments shall be made:a) An allowance for doubtful accounts of 3% of accounts receivable is to be establishedb) The merchandise inventory is to be valued at P23,000.c) Prepaid salary expenses of P600 and accrued rent expense of P800 are to be recognized. A is to invest sufficient cash to obtain a 1/3 interest in the partnership.(1) Z's adjusted capital before…Items 18 to 20 are based on the following data. The partnership business of John Estrada and Peter Arroyo was formed on January 2, 2020. At that date, the following assets were invested as derived from their respective sole proprietor's books. Book of Estrada Book of Arroyo 160,000 Cash. .P145,000 Accounts receivable. 80,000 50,000 Allowance for doubtful accounts. (5,000) (3,000) Merchandise inventory. 200,000 190,000 Partner's agreement as follows: 1. Estrada and Arroyo's adjusted capital contributions must be equal. In the event that one's contribution will exceed the other, any one of them shall withdraw "Cash" from their respective investment. 2. Their respective Accounts receivable should have a probability of collections. 80% for Estrada and 90% for Arroyo. 3. Merchandise inventory will be caried in the partnership book "as is". 4. Prepaid expense of P20,000 should be recognized for Estrada and P5,000 Accrued expenses for Arroyo. 18. How much is the adjusted capital contribution…The Taurin Partnership (a calendar-year-end entity) has the following assets as of December 31 of the current year: Таx Basis FMV $ 49,800 16,600 $ 49,800 33,200 128,400 $ 211,400 Cash Accounts receivable Inventory 87,000 Totals $ 153,400 On December 31, Taurin distributes $16,600 of cash, $11,067 (FMV) of accounts receivable, and $42,800 (FMV) of inventory to Emma (a one-third partner) in termination of her partnership interest. Emma's basis in her partnership interest immediately prior to the distribution is $43,533. c1. If Emma's basis before the distribution was $60,033 rather than $43,533, what is Emma's recognized gain or loss? c2. What is her basis in the distributed assets? Complete this question by entering your answers in the tabs below. Req C1 Req C2 What is her basis in the distributed assets? (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.) Basis Cash Accounts receivable Inventory