partnership has the following accounting amounts: Sales Cost of Goods Sold General and Administrative Expenses Distribution costs Interest paid to banks Salary allowances to partners Partners' withdrawals 150,000 80,000 17,000 52,000 23,000 12,000 18,000 Compute the Partnership's net income (loss).
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- 9. A partnership showed the following account balances: sales, P70,000; cost of sales,P40,000; operating expenses. P10,000; partners’ salaries, P13,000; interest paid tobanks, P2,000; interest allowances on average capital balances, P2,500 and partners’drawings, P8,000. How much is the partnership profit?1. d. Instructions: 2. Interest accrued on notes payable for the period September 1 to December 1, 201 should be recognized. The interest rate on the note is 10%. The furniture and equipment are one-third depreciated. Office supplies on hand, which have been charged to expense, amounted to P15,00 These supplies will be used by the new partnership. Instructi 1. Prepare journal entries on the books of Acosta to give effect to the partnership formation. Prepare the statement of financial position for the new partnership. Pro for tore Forma Partnership; Books of one of the Sole PaSalaries provided to partners are generally accounted for as:________ a. Part of the cost of revenues of the partnership b. An operating expense of the partnership c. A profit-sharing mechanism d. Permanent withdrawals of the partners
- A partnership has the following accounting amounts: Sales Cost of Goods Sold General and Administrative Expenses Distribution costs Interest paid to banks Salary allowances to partners Partners' withdrawals 150,000 80,000 17,000 52,000 23,000 12,000 18,000 Compute the Partnership's net income (loss). Encode as a negative amount if the answer is a loss.The partnership of Irdina and Irfan commenced on 1 April 2013 and accounts are prepared to 31 December annually. The partnership agreement provided for the following: i. Interest on capital is 10% per annum for each partner. Irdina's capital contribution Irfan's capital contribution RM70,000 RM105,000 ii. Salary Irdina RM2,000 per month. RM2,500 per month Irfan Share of divisible income/(loss) Irdina 2/5 Irfan 3/5 On 30* September 2014, Irdina left the partnership and withdrew her accumulated capital and profits up to that date. On 1 October 2014, Iftina joined the partnership and the new partnership provided the following: i. Interest on capital is 10% per annum for each partner. Irfan's capital contribution Iftina's capital contribution RM100,000 RM100,000 ii. Salary Irfan RM2,500 per month Iftina RM2,500 per month B.developed in part a(3). etd 189fc64d53a0a6a71 PROBLEM C.11 Dividing Partnership Profit and LossLOC-10 Rothchild Furnishings, Inc., has three partners-Axle, Brandt, and Conrad. At the beginning of the current year their capital balances were: Axle, $180,000; Brandt, $140,000; and Conrad, $80,000. The partnership agreement provides that partners shall receive salary allowances as follows: Axle, $10,000; Brandt, $50,000; and Conrad, $28,000. The partners shall also be allowed 12 percent interest annually on their capital balances. Residual profit or loss is to be divided: Axle, one-half; Brandt, one-third; and Conrad, one-sixth. Instructions Prepare separate schedules showing how income will be divided among the three partners in each of the following cases. The figure given in each case is the annual partnership net income or loss to be allocated among the partners. Round calculations to the nearest dollar. a. Income of $526,000. b. Income of $95,000. c. Loss of $32,000. PROBLEM C.12 Who…
- Requirement: Compute for the respective shares of the partners in | shared equally, while losses on a 70:30 ratio. The partnership PROBLEM 3: EXERCISES 1. Partners A and B share in profits and los es on a 70:30 ratio after salaries of P80,000 for A and P40,000 or B. The business earned profit of P180,000 before deduction or the salaries. Requirements: a. Compute for the partners' respective share in the profit. b. Provide the journal entries (the salar are withdrawn periodically). for annual salary 2. A and B's partnership agreement provi allowances of P160,000 for A and P80, for B. Profits are earned profit of P200,000. Reguirement: Compute for the respective shares of the partners in the profit.The partnership has the following accounting amounts: Sales 70,000 Interest paid to banks 40,000 Partners' withdrawals 10,000 Cost of goods sold Operating expenses The partnership net income (loss) is: O A. 20,000 O B. 18,000 O C. 5,000 O D. (3,000) Salary allocations to partners 2,000 8,000 13,000Assume the partnership income-sharing agreement calls for income to be divided with a salary of $30,000 to Coburn and $25,000 to Webb, with the remainder divided 35% to Coburn and 65% to Webb. Prepare the journal entry to record the allocation of net income. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation > Debit Credit
- QUESTION 3 E, C and G were in partnership sharing profits and losses in the ratio 3:2:1 respectively. A summary of the statement of financial position of the partnership as at 30th September 2009 is as follows: GH¢ 21,000 23,700 18,300 GH¢ Capital and Liabilities: Capital: E C Non-Current Assets Current Assets 22,200 14,400 9,900 6,000 10,500 63,000 Bank Account Loan Account C Trade Payables Total Assets 63,000 Capital & Liabilities The partners decided to dissolve the firm as at their last accounting date. The asset realised GH¢61,480. You are required to: Close the books of the firm.Partner capital accounts upon formation of partnership-Goodwill Method Assume that two individuals agree to form a partnership. Partner A is contributing an operating business that reports net assets of $30,000. Partner B is contributing cash of $45,000. The partners agree that the initial capital of the partnership should be shared equally. What will be the initial balance of the Capital Accounts of the partners assuming that the partners wish to employ the Goodwill Method? Select one: a. Partner A Partner B $90,000 $90,000 b. Partner A Partner B $37,500 $37,500 c. Partner A Partner B $45,000 $45,000 d. Partner A Partner B $30,000 $45,000Use the following account balance information for Granobfin Partnership with income ratios of 2:4:4 for Robert, Noble, and Finn, respectively. Cash Assets $50400 Accounts receivable 133000 Inventory O $286740. O $311100. O $204000. O $520500. 437900 $621300 Liabilities and Owner's Equity. Accounts payable $125200 Robert, Capital Noble, Capital Finn, Capital 137400 47600 311100 $621300 Assume that, as part of liquidation proceedings, Granobfin sells its noncash assets for $510000. The amount of cash that would ultimately be distributed to Finn would be
