Meir, Benson, and Lau are partners and share income and loss in a 2:3:5 ratio (in percents: Meir, 20%; Benson, 30%; and Lau, 50%). The partnership's capital balances are as follows: Meir, $70,000; Benson, $107,000; and Lau, $183,000. Benson decides to withdraw from the partnership. 1. Prepare journal entries to record Benson’s February 1 withdrawal under each separate assumption: (Do not round intermediate calculations.) Benson sells her interest to North for $160,000 after North is approved as a partner. Benson gives her interest to a son-in-law, Schmidt, and Schmidt is approved as a partner. Benson is paid $107,000 in partnership cash for her equity. Benson is paid $145,000 in partnership cash for her equity. Benson is paid $27,000 in partnership cash plus equipment that is recorded on the partnership books at $63,000 less accumulated depreciation of $20,790.
Meir, Benson, and Lau are partners and share income and loss in a 2:3:5 ratio (in percents: Meir, 20%; Benson, 30%; and Lau, 50%). The partnership's capital balances are as follows: Meir, $70,000; Benson, $107,000; and Lau, $183,000. Benson decides to withdraw from the partnership. 1. Prepare journal entries to record Benson’s February 1 withdrawal under each separate assumption: (Do not round intermediate calculations.) Benson sells her interest to North for $160,000 after North is approved as a partner. Benson gives her interest to a son-in-law, Schmidt, and Schmidt is approved as a partner. Benson is paid $107,000 in partnership cash for her equity. Benson is paid $145,000 in partnership cash for her equity. Benson is paid $27,000 in partnership cash plus equipment that is recorded on the partnership books at $63,000 less accumulated depreciation of $20,790.
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Meir, Benson, and Lau are partners and share income and loss in a 2:3:5 ratio (in percents: Meir, 20%; Benson, 30%; and Lau, 50%). The partnership's capital balances are as follows: Meir, $70,000; Benson, $107,000; and Lau, $183,000. Benson decides to withdraw from the partnership.
1. Prepare journal entries to record Benson’s February 1 withdrawal under each separate assumption: (Do not round intermediate calculations.)
Benson sells her interest to North for $160,000 after North is approved as a partner.
Benson gives her interest to a son-in-law, Schmidt, and Schmidt is approved as a partner.
Benson is paid $107,000 in partnership cash for her equity.
Benson is paid $145,000 in partnership cash for her equity.
Benson is paid $27,000 in partnership cash plus equipment that is recorded on the partnership books at $63,000 less accumulated depreciation of $20,790.
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