Curly, Larry and Moe have formed a general partnership to eperate a comedy chub called Stooges. Last night, Moe poked a customer in the eye when she refused to pay her bar tab. Who is liable to the customer for her eye injury? O Curly. Larry aud Moc O Moe only Stooges, the business firm it depends on what it says in their partnership agreemeant
Q: Elias, Gally and Mario are sole proprietors who decided to merge their businesses to form a…
A: When partners contribute together the assets and run the business together is known as a partnership…
Q: The Ace and Deuce partnership has been created to operate a law firm. The partners are attempting to…
A: Accounting is a method that records, analyses, classifies, summarizes reports and interprets the…
Q: Jo, Ted and Carol were partners. When Jo retired, Ted and Carol agreed to hold Jo harmless for any…
A: if one partner is not able to y ,then other partner will pay
Q: Kyra & Marrke established a partnership type of business in 2021. They have chosen to focus on food…
A: Mark up is the value that an entity adds to the cost of the product for internal transfer or for…
Q: Phil and his brother, Karl, decide to start up a new business offering to provide computer software…
A: Partnership means where two or more person comes together to do some common business activity and…
Q: Mrebe and Johannes are in a partnership trading as KwaQongo Farmers. The partners are sharing…
A: Option (a) is the correct answer
Q: Sonia and Fred are partners in a CPA firm that was formed as a Limited Liability Partnership (LLP).…
A: LLP is a form of partnership business where the liability of several or all of the partners is…
Q: am wants to help his brother, Lou, start a new business. Lou is an auto mechanic but has little…
A: Partnership refers to an arrangement of business which involves two or more parties also known as…
Q: Gerald, Julia and Bea are partners who decided to terminate their partnership due to…
A: This question deals with the concept of liquidation of partnership. Liquidation may happens due to…
Q: Roland Go, Gina Go, and Mia Ting organized a partnership and they named it asHO-TING Partnership.…
A: The business can be done in many form. Business can be done based on sole proprietorship where only…
Q: Stroud and Freeman are general partners in Stroud’s Food…
A: Partnership refers to a formal arrangement agreed to be happened between two or more parties in oder…
Q: Masters, Hardy, and Rowen are dissolving their partnership. Their partnership agreement allocates…
A: Partnership is an agreement between two or more persons, in which they invest capital, run business…
Q: A & B approach C about forming a general partnership. A & B will each contribute $10,000 cash as…
A: Explanation: Even that 'C' does not bear any risk of losing his money which will be a loss of…
Q: Terry Willard and Jasmine Hill decide to form a partnership. Willard will contribute $300,000 to the…
A: Partnership It is that form of organization which is owned and managed by two or more persons who…
Q: Jesse and Tim form a partnership by combining the assets of their separate businesses. Jesse…
A: Admission in Partnership Firm: In the absence of any other agreement, the only way for the business…
Q: Sue and Marty are watch repairmen who want to form a partnership and open a jewelry store. An…
A: Journal entries are prepared to record the financial and non-financial transactions of the business…
Q: A client of yours is seeking your help in understanding a number of issues involving various aspects…
A:
Q: Efren and Frenz operate The Gourmet Restaurant as a partnership. Their partnership agreement has the…
A: The income of a partnership firm is distributed to the partners based on the emoluments agreed…
Q: B promised that he will deliver a house and lot for the partnership to use for its manufacturing…
A: The partnership act defines a relationship between two or more persons who agrees to share profits…
Q: topic is about Partnership Dissolution. see the picture attached for the problem The partners…
A: Partnership is the firm organized by two or more people for carrying a business with sharing of…
Q: Tanner and Teresa share income and losses in a 2:1 ratio (2/3 to Tanner and 1/3 to Teresa) after…
A: Profit after salary = Net ncome - salaries of Tanner - salaries of Teresa = $134,400 - $43,500 -…
Q: B was an industrial partner. The Articles of Partnership required B that every week he will work for…
A: Partnership: It implies to a contractual agreement between two or more parties who agrees or gives…
Q: sole general partne
A: The sharing of profit and loss in accordance with the profit and loss sharing ratio.it completely…
Q: May the supplier obtain payment from A?
A: Partnership refers to a form of business where two or more persons with some common goals come…
Q: 2. D, E and F entered into a partnership to operate a restaurant business. When the restaurant had…
A: Partnership means where two or more person comes together to do some common business activity and…
Q: Farah and David decide to form a sports memorabilia retail partnership. They have known each other…
A: Partnership:- When two or more people come together to form a business where they share profit or…
Q: Terry Willard and Jasmine Hill decide to form a partnership. Willard will contribute $300,000 to the…
A: Both of the partners' perspective toward the profit sharing ratio can be addressed by payment of…
Q: Ann and Jack have been partners for several years. Their firm, A & J Tax Preparation, has been very…
A: The advantages of corporation as compared to Partnership are as follows: 1. Option (C) Owners have…
Q: The partnership of Matteson, Richton, and O’Toole has existed for a number of years. At the present…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Adams, a consulting engineer, entered into a partnership with three others for the practice of their…
A: Disclaimer: “Since you have posted a question with multiple sub-parts, we will solve first three…
Q: Ann and Jack have been partners for several years. Their firm, A & J Tax Preparation, has been very…
A: A partnership is a firm formed by more than two people who agree to share profits and costs in a…
Q: Medina and Dalangin are fierce competitors who sell hunting equipment. They finally decided to join…
A: A partnership is the form of an entity where two or more persons carry on the business to earn…
Q: Case Study Louise Mathew is one of three full partners in a newly formed business. Without the…
A: Partnership is a kind of business which is formed by two or more individuals. There may be a general…
Q: Willow Construction Company is a partnership with three equal partners. On April 4, 2020, one of the…
A: Partnership Dissolution
Q: A) X,Y,Z separately tender for a contract to pick up stray cows and dogs from Delhi cantonment area…
A: You have asked two different questions under a single question. As per our protocol we provide…
Q: Mr. Ahmed, the general partner of a big furniture store in Muscat is going to contribute a bigger…
A: Partnership is created by two or More people for carrying a business to earn or share profit or loss…
Q: Arnold and Brandon are sole proprietors who decided to merge their business and form a partnership.…
A: An asset is the value of items owned by the business organisation. It can be tangible or intangible…
Q: Chris Gray, Bryson Alef, and Nick Pirollo are founding partners of their company, Scholly. Assume…
A: Partnership: Partnership is one of the types of business origination. Under the partnership, two or…
Q: Fluffy, Anjelah, and Lopez are partners and share income and losses as follows: Fluffy, 20%;…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Allan, Bryan and Catty are partners in a partnership engaging in a food catering business. The terms…
A: Answer:- a Profit and loss appropriation…
Q: hree friends, X Y and Z decide to form a partnership to carry on a business trading in used cars. X…
A: The question is based on the concept of Accounting Theory.
Q: 1. A, B, C are partners operating a small store for two years. The partners are considering the…
A: Partnership Firm: In this case, we may define a partnership as an arrangement of two or more people…
Q: Kumaresan and Cheng are watch repairmen who want to form a partnership and open a jewellery store.…
A: The investment by partners in a partnership firm is journalized by debiting all the assets invested…
Q: Michael works as an accountant at a large accounting firm. Michael is also a partner in XYZ…
A: Materiality of transaction: Amounts that are deemed material in auditing do not just refer to a…
Q: Phillips and Harris are partners in a used car business. Under their oral partnership, each has an…
A: The partnership refers to the form of business in which two or more people come together with a…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- 2. D, E and F entered into a partnership to operate a restaurant business. When the restaurant had gone past break-even stage and started to garner considerable profits, F died. D and E continued the business without dissolving the partnership. They in fact opened a branch of the restaurant, incurring obligations in the process. Creditors started demanding for the payment of their obligations. Who are liable for the settlement of the partnership’s obligations?Amy and Lester are partners in operating a store. Without consulting Amy, Lester enters into a contract to purchase $10,000 of merchandise for the store. Amy says she did not authorize the order and that she could have purchased the same merchandise for $7,000. Amy refuses to pay for the order. The vendor sues the partners. a. Must the partnership pay for the merchandise? If yes, how much? b. Assuming the partnership is a general partnership, can Amy’s personal assets be taken to pay for the merchandise?Sam wants to help his brother, Lou, start a new business. Lou isan auto mechanic but has little business sense, so he needs Sam to help him make business decisions. Should this partnership be arranged as a general partnership or a limited partnership? Why? Should they consider any other form for structuring their business? In your post, only discuss the partnership entity options, do not discuss other business types such as S-corporations.
- Case Study Louise Mathew is one of three full partners in a newly formed business. Without the permission of the other two partners, she enters into a written contract with a creditor. The transaction binds the firm in the amount of $75,000. Louise then leaves the area and cannot be located by the other two partners. Directions: Answer the following questions and include the characteristics of this business form to provide support for your answer. Are the other two partners liable for the $75,000? What legal features of the partnership apply to this case? Is what Louise has done legal?The partnership was being dissolved. Partner A has decided to resign as a partner. However, the coffee supplier of the partnership without being informed that A has resigned already, delivered 100 kilos of premium coffee beans to A. The supplier is now asking for the payment. May the supplier obtain payment from A? a. Yes. A remains to be a partner because the supplier was not informed of his status. b. Yes. A remains to be a partner since the partnership is still in the dissolution stage. c. No. A is only liable for his limited accounts in the partnership. d. No. A did not order for the coffee beans so he is not personally liable to the supplier.Draper and Becker decide to organize a partnership. Draper invests $35,500 cash, and Becker contributes $5,300 and equipment having a book value of $7,000 and a fair value of $15,000, Prepare the entry to record each partner's investment. (Credit account titles are automatically Indented when the amount Is entered. Do not Indent manually List all debit entries before credlt entrles.) Account Titles and Explanation Debit Credit (To record Draper's investment) (To record Becker's investment)
- A & B approach C about forming a general partnership. A & B will each contribute $10,000 cash as start-up funds. C is to contribute no cash but instead work full-time in the business. A & B will work only part-time in the business. A, B, & C will share profits equally. C believes this is a great opportunity for him as he has no investment to risk by going into business with A & C. Is he correct?Thomas Richey operates a small shop that sells fishing equipment. His postclosing trial balance on December 31, 20X1, is shown below. Richey plans to enter into a partnership with Kathryn Price, effective January 1, 20X2. Profits and losses will be shared equally. Richey is to transfer all assets and liabilities of his store to the partnership after revaluation as agreed. Price will invest cash equal to Richey’s investment after revaluation. The agreed values are Accounts Receivable (net), $58,000; Merchandise Inventory, $199,600; and Furniture and Equipment, $49,200. The partnership will operate as Richey and Price Angler’s Outpost. Richey's Tackle Center Postclosing Trial Balance December 31, 20X1 Account Name Debit Credit Cash $19,000 Accounts Receivable 65,600 Allowance for Doubtful Accounts $10,000 Merchandise Inventory 180,000 Furniture and Equipment 116,400 Accumulated Depreciation 92,000 Accounts Payable…Jim Bond, a plumber, has been working for Fleming’s Plumbing Supplies for several years. Based on his hard work and the fact that he recently married Ivan Fleming’s daughter, Jim has been invited to enter into a partnership with Fleming. The new partnership will be called Fleming and Bond’s Plumbing Supplies. The terms of the partnership are as follows: a) Fleming will invest the assets of Fleming’s Plumbing Supplies, and the partnership will assume all liabilities. The market values of the office and store equipment are estimated to be $18,000 and $8,000, respectively. All other values reported on the balance sheet are reasonable approximations of market values. Fleming has no knowledge of any uncollectible accounts receivable. b) Bond will invest $50,000 cash. c) Fleming will draw a salary allowance of $50,000 per year, and Bond will receive $30,000. d) Each partner will receive 10% interest on the January 1 balance of his capital account. e) Profits or losses remaining after…
- 6. Intention to create legal relations are presumed in which of the following relationships. In the statements below Select TRUE or FALSE. True False Husband paying £30 per week for wife's upkeep with a verbal agreement Work colleagues who are part of a lottery syndicate Parties to a commercial contract Friends who are going to meet for a dinner dateQ8 ABC Bakers is a partnership concern owned and operated by Mr. X and Mr. Y. Identify the option that reflect the correct treatment of accounting transaction in the books of ABC Bakers? Select one: a. Mr. X borrowed Mr. Y money from a partnership’s bank account to buy a car for personal use: Debit vehicle; Credit Bank b. Mr. Y purchased an oven for the bakery using his personal credit card: Debit Oven (Asset); Credit Equity Capital c. Mr. X paid his house rent from the business bank account. Debit Rent expense; Credit Bank B d. Mr. Y paid out of buTasneem and Nazreen were friends with similar hobbies. they formed a partneship with a written partnership agreement to trade in pastry and related products as Tasnaz’s Pastry. The following were extracted from their accounting records; Balances in the ledger at 30 June 2021 R Capital: Tas 407000 Capital: Naz 363000 Current account: Tas credit balance at 1 July 2020 8052 Current account: Naz: debit balance at 1 July 2020 2640 Drawings : Tas 88000 Drawings : Naz 140000 Profit for the year 438636 Additional Information:The partnership agreement provides for the following that needs to be taken into account:1. Partners are entitled to salaries as follows:• Tas – R8 000 per month,• Naz – R10 000 per month. 2. Interest on capital accounts are allowed at 12% per year on each partners capital on a pro-rata basis. Note the following that on 1 January 2021:• Tas decreased her capital account by R27 000; and• Naz increase her capital account by R17 000. 3. Interest at 10%…