Meman Ramer and Knox began a partnership by investing $79,000 and $109,000, respectively. The partners agreed to share net income andloss by giving annual salary allowances of $59,500 to Ramer and $47,600 to Knox, 10% interest allowances on their investments, andany remaining balance shared equally.Note: Enter all allowances as positive values. Enter losses as negative values.Required:1. Determine each partner's share given a first-year net income of $117,800.2. Determine each partner's share given a first-year net loss of $35,800.Complete this question by entering your answers in the tabs below.Required 1 Required 2Determine each partner's share given a first-year net income of $117,800.Allocation of Partnership IncomeNet Income (loss)Salary allowancesBalance of income (loss)Interest allowancesBalance of income (loss)Balance allocated equallyRamerKnoxTotal$117,800000

Understanding the allocation of partnership income involves grasping the intricate dynamics of…

Answered: Ramer and Knox began a partnership by…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter15: Partnership Accounting

Section: Chapter Questions

Problem 1PA: The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after...

See similar textbooks

Similar questions

Ramer and Knox began a partnership by investing $72,000 and $102,000, respectively. The partners agreed to share net income and loss by giving annual salary allowances of $56,000 to Ramer and $44,800 to Knox, 10% interest allowances on their investments, and any remaining balance shared equally. (Enter all allowances as positive values. Enter losses as negative values.) Required: 1. Determine each partner's share given a first-year net income of $110,800. 2. Determine each partner's share given a first-year net loss of $28,800. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine each partner's share given a first-year net income of $110,800. Allocation of Partnership Income Ramer Knox Total Net Income (loss) Salary allowances Balance of income (loss) Interest allowances Balance of income (loss) Balance allocated equally Balance of income (loss) Shares of the partners $ 56,000 $ 5,600 44,800 4,800 WIT $ 110,800 100,800 10,000 10,400 400 0…
Ramer and Knox began a partnership by investing $60,000 and $90,000, respectively. The partners agreed to share net income and loss by giving annual salary allowances of $50,000 to Ramer and $40,000 to Knox, 10% interest allowances on their investments, and any remaining balance shared equally. Note: Enter all allowances as positive values. Enter losses as negative values. Required: Determine each partner's share given a first-year net income of $98,800. Determine each partner's share given a first-year net loss of $16,800. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Ramer and Knox began a partnership by investing $60,000 and $90,000, respectively. The partners agreed to share net income and loss by giving annual salary allowances of $50,000 to Ramer and $40,000 to Knox, 10% interest allowances on their investments, and any remaining balance shared equally. 1. Determine each partner’s share given a first-year net income of $98,800. 2. Determine each partner’s share given a first-year net loss of $16,800.
9 Ramer and Knox began a partnership by investing $72,000 and $102,000, respectively. The partners agreed to share net income and loss by giving annual salary allowances of $56,000 to Ramer and $44,800 to Knox, 10% interest allowances on their investments, and any remaining balance shared equally. (Enter all allowances as positive values. Enter losses as negative values.) Required: 1. Determine each partner's share given a first-year net income of $110,800. 2. Determine each partner's share given a first-year net loss of $28,800. Complete this question by entering your answers Required 1 Required 2 Determine each partner's share given a first-year net Ic Allocation of Partnership Income Ramer Knox Total $ (28,800) Net Income (loss) Salary allowances 0 Balance of income (loss) Interest allowances 0 Balance of income (loss) Balance allocated equally 0 Balance of income (loss) Shares of the partners
Ramer and Knox began a partnership by investing $60,000 and $90,000, respectively. During its first year, the partnership earned $160,000. Prepare calculations showing how the $160,000 income is allocated under each separate plan for sharing income and loss. 1. The partners did not agree on a plan and therefore share income equally. 2. The partners agreed to share income and loss in proportion to their initial investments. 3. The partners agreed to share income by giving a $50,000 per year salary allowance to Ramer, a $40,000 per year salary allowance to Knox, 10% interest on their initial capital investments, and the remaining balance shared equally.
Dallas and Weiss formed a partnership to manage rental properties, by investing $207,000 and $243,000, respectively. During its first year, the partnership recorded profit of $551,000. Required: Prepare calculations showing how the profit should be allocated to the partners under each of the following plans for sharing profit and losses: a. The partners failed to agree on a method of sharing profit. Share to Share to Total Dallas Weiss b. The partners agreed to share profits and losses in proportion to their initial investments. Share to Share to Weiss Total Dallas
Phox and Ranch have decided to form a partnership. They are in the process of agreeing on how the profits/losses will be divided. Assume that the company is anticipating net income of $80,000 for the first time period. Determine Phox's share of the net income if the partner's agree on an interest allowance of 10% on the original investments (Phox invested $20,000 and Ranch invested $30,000) and the remainder equally. Phox Ranch Total Interest Allowances Remainder 1:1 _____ ______ ______ Totals ? 80,000 Group of answer choices $40,000 $39,500 $30,000 $2,000
Ramer and Knox began a partnership by Investing $62,000 and $93,000, respectively. During its first year, the partnership earned $190,000. Prepare calculations showing how the $190,000 income is allocated under each separate plan for sharing income and loss. 2. The partners agreed to share income and loss in proportion to their initial investments. Net income is $190,000. Note: Do not round intermediate calculations. Fraction to Allocate Ramer Ramer's Share of Income Fraction to Allocate Knox Knox's Share of Income Total Income Allocated $ 0
For Industry H, determine each partner's share of income assuming the partners agree to share income by giving a $67,700 per year salary allowance to Price, a $126,100 per year salary allowance to Waterhouse, a $113,700 per year salary allowance to Coopers, a 15% interest on their initial capital investments, and the remaining balance shared equally. (Enter all allowances as positive values. Enter losses as negative values.) Important! Be sure to click the correct Industry at the top of the dashboard. Net income (loss) Salary allowances Balance of income (loss) Interest allowances Balance of income (loss) Balance allocated equally Balance of income (loss) Shares of each partner Initial partnership investments Net income Allocation of Partnership Income Price Total net income Total 0 Waterhouse $ $ PRICE, WATERHOUSE, AND COOPERS Statement of Partners' Equity For Year Ended December 31 Price Coopers 0 0 Waterhouse 0 0 0 $ For Industry H, prepare a statement of partners' equity for the…
Phox and Ranch have decided to form a partnership. They are in the process of agreeing on how the profits/losses will be divided. Assume that the company is anticipating net income of $80,000 for the first time period. Determine Phox's share of the $80,000 if the partners agree on an interest allowance of 10% on the original investments (Phox invested $20,000 and Ranch invested $30,000), salary allowances of $22,000 to Phox and $33,000 to Ranch, and the remainder equally. Phox Ranch Total Interest Allowances Salary Allowances 22,000 33,000 55,000 Remainder 1:1 _____ ______ ______ Totals ? 80,000 Group of answer choices $20,000 $33,000 $34,000 $46,000
Cosmo and Ellis began a partnership by investing $50,000 and $75,000, respectively. During its first year, the partnership earned $165,000. Prepare calculations showing how the $165,000 income should be allocated to the partners under each of the following three separate plans for sharing income and loss: (1) the partners failed to agree on a method to share income; (2) the partners agreed to share income and loss in proportion to their initial investments (round amounts to the nearest dollar); and (3) the partners agreed to share income by granting a $55,000 per year salary allowance to Cosmo, a $45,000 per year salary allowance to Ellis, 10% interest on their initial capital investments, and the remaining balance shared equally
Cosmo and Ellis began a partnership by investing $40,000 and $51,000, respectively. During its first year, the partnership earned $185,000. Prepare calculations showing how the $185,000 income should be allocated to the partners under each of the following three separate plans for sharing income and loss: (1) The partners failed to agree on a method to share income. (2) The partners agreed to share income and loss in proportion to their initial investments. (3) The partners agreed to share income by granting a $52,500 per year salary allowance to Cosmo, a $42,500 per year salary allowance to Ellis, 20% interest on their initial capital investments, and the remaining balance shared equally.

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

SEE MORE TEXTBOOKS