Kerry is a partner in the Kerry, Davis, Smith & Jones Partnership. Kerry owned 25% from January 1, 2021, to June 30, 2021, when she bought Jones’s 25% interest. She owned 50% for the rest of the year. The partnership had ordinary income of $175,200 and $20,000 in long-term capital gains. Required: Barring any special allocations in a partnership agreement, what is Kerry’s share of income?

Todd has a capital balance of $170,600 after adjusting assets to fair market value. Zanetti contributes $45,500 to receive a 40% interest in a new partnership with Todd. Determine the amount and recipient of the partner bonus. Amount of bonus

Karan

Pablo has a $194,600 basis in his partnership interest. On May 9 of the current tax year, the partnership distributes to him, in a proportionate current distribution, cash of $77,840, cash basis receivables with an inside basis of $0 and a fair market value of $48,650, and land with a basis and fair market value to the partnership of $252,980. If an amount is zero, enter "0". How much is Pablo's realized and recognized gain on the distribution? Pablo has a realized gain on the distribution of $ b. and a recognized gain of $ What is Pablo's basis in the receivables, land, and partnership interest following the distribution? The receivables have a basis of $ and the land has a basis of $ to Pablo. His basis in his partnership interest after the distribution is $

The Distance Plus partnership has the following capital balances at the beginning of the current year along with respective profit and loss percentages: Tiger (50%) Phil (40%) Ernie (10%) Each of the following questions should be viewed independently. Required: a. If Sergio invests $60,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the bonus method is used. b. If Sergio invests $50,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the bonus method is used. c. If Sergio invests $60,000 in cash in the business for a 20 percent interest, what journal entry is recorded? Assume that the goodwill method is used. $ 70,000 40,000 55,000 Complete this question by entering your answers in the tabs below. Required A Required B View transaction list If Sergio invests $60,000 in cash in the business for a 25 percent interest, what journal entry recorded? Assume tha method is used. the bonus Note: If…

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Bruce Chapman was admitted to the Adams & Bye LLP on May 31, 2020, by an investment of $40,000 cash for a 20% interest in partnership net assets. Prior to the admission of Chapman, the capital accounts of Adams and Bye, who shared net income and losses equally, had balances of $70,000 and $30,000, respectively.The preferable accounting method for the admission of Chapman includes credits of: Select one: a. $28,000 and $12,000, respectively, to the capital accounts of Adams and Bye b. $6,000 each to the capital accounts of Adams and Bye c. Some other amounts to the capital accounts of Adams and Bye d. $30,000 each to the capital accounts of Adams and Bye

Jerry and Sherry own and operate a partnership. Jerry's capital balance is $50,000 and Sherry's is $55,000. Jerry and Sherry decided to admit a new partner, Allison, to their partnership. By the terms of their partnership agreement, Jerry and Sherry share income/ loss equally, Allison intends to contribute $40,000 to receive a Twenty-five percent interest in the partnership. Required: a. Revalue the partnership assets b. Determine the total equity of the partnership after the new partner is admitted c. Determine the new partner's share of the total equity d. Determine the bonus resulting from Allison's equity of her contribution e. Make journal entries to rccord Allison's admission to the partnership

John is a 25% partner in Gross Partnership. John’s tax basis in Gross on January 1, 2022, was $20,000. At the end of 2022, John received a nonliquidating cash distribution of $8,000 from Gross. Gross’s 2022 accounts recorded the following items Municipal Bond Interest Income $12,000 Ordinary income $40,000 What was John’s tax basis in Gross on December 31, 2022? Select one: a. $30,000 b. $25,000 c. $15,000 d. $23,000

Nancy and Peter enter into a partnership and decide to share profits and losses as follows: 1 The first allocation is a salary allowance with Nancy receiving $16,000 and Peter receiving $14,000. 2. The second allocation is 20% of the partners' capital balances at year end. On December 31, 2019, the capital balances for Nancy and Peter are $88,000 and $25,000, respectively 3. Any remaining profit or loss is allocated equally. For the year ending December 31, 2019, the partnership reported a net loss of $95,000. What is Peter's share of the net loss? OA. $40,200 OB. $7,300 OC. $21,200 OD. $19,000