Instructions1. For each plan, determine the division of the netincome under each of the following assumptions:(1) net income of $276,000 and (2) net income of$480,000. Present the data in tabular form, usingthe following columnar headings:PlanBlack$276,000 PR 12-2A Dividing partnership incomeOBJ. 2Black and Shannon have decided to form a partnership.They have agreed that Black is to invest $360,000 andthat Shannon is to invest $120,000. Black is to devoteone-half time to the business, and Shannon is to devotefull time. The following plans for the division of incomeare being considered:1. Equal division2. In the ratio of original investments3. In the ratio of time devoted to the business4. Interest of 6% on original investments and theremainder equally5. Interest of 6% on original investments, salaryallowances of $96,000 to Black and $168,000 toShannon, and the remainder equally6. Plan (e), except that Shannon is also to be allowed abonus equal to 20% of the amount by which netincome exceeds the total salary allowances

"Since you have posted a question with multiple sub parts, we will solve first three sub parts for you. To get remaining sub parts solved please repost the complete question and mention the sub parts to be solved." The partnership comes into existence when two or more persons agree to do the business and further share profits and losses in a desired ratio. The bonus, salary, interest, etc. are to be paid to partners before distribution of net income. Case 1. Net income $276,000 Part a. Profit sharing ratio of Black and Shannon = 1:1 Profit distribution schedule Black Shannon Total Net income $276,000 Share of partners $138,000 $138,000 Part b. Profit sharing ratio of Black and Shannon = 360,000 : 120,000 = 3:1 Profit distribution schedule Black Shannon Total Net income $276,000 Share of partners $207,000 69,000 Part c. Profit sharing ratio of Black and Shannon = 1/2 : 1 = 1:2 Profit distribution schedule Black Shannon Total Net income $276,000 Share of partners $92,000 $184,000

Business

Accounting

1. For each plan, determine the division of the net income under each of the following assumptions: (1) net income of $276,000 and (2) net income of $480,000. Present the data in tabular form, using the following columnar headings: $276,000

1. For each plan, determine the division of the net income under each of the following assumptions: (1) net income of $276,000 and (2) net income of $480,000. Present the data in tabular form, using the following columnar headings: $276,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

The following selected information is for H55 Corporation: Total assets Total shareholders' equity Sales Cost of goods sold Net income. H55 had no preferred shares. ype here to search 2021 $357,000 $285,000 136.000 503.000 378.759 2020 32.695 97,500 394,000 276.982 29.944 2019 $267,000 48,500 297.000 181,000 20,400
Can you do 2022 income statement of this table? Statement of Profit or Loss and Other Comprehensive Income Presentation Currency Nature of Financial Statements Revenue Revenue from Finance Sector Operations Total Revenue Cost of Sales Cost of Finance Sector Operations Total Costs Gross Profit (Loss) from Commercial Operations Gross Profit (Loss) from Finance Sector Operations Gross Profit (Loss) Profit (Loss) From Operating Activities Profit (Loss) Before Financing Income (Expense) Profit (Loss) from Continuing Operations, Before Tax Profit (Loss) from Continuing Operations Profit (Loss) from Discontinued Operations Net Profit (Loss) Profit (Loss) Attributable To, Non- controlling Interests Profit (Loss) Attributable To, Owners of Parent Other Comprehensive Income (Loss) Total Comprehensive Income (Loss) Total Comprehensive Income Attributable To, Non-controlling Interests Total Comprehensive Income Attributable To, Owners of Parent 2020/12 1000TL Consolidated 21.529.210 37.824.578…
The relationship of $356,183 to $112,148, expressed as a ratio, is O a. 4.7 O b. 1.5 O c. 3.2 O d. 0.8
How to calculate out the answer to $1,011,982?
Using the following Balance Sheet summary information, calculate for the two companies presented:working capitalcurrent ratio Company L and Company M, respectively: Current assets $124,680, $180,550. Current liabilities 63,250, 153,250.
You are provided with the following sample observations relating to historical rate of returns and their corresponding probabilities for individual assets, Brad and Ford: Brad Ford Obs E(RB) Prob 1 -0.03 0.01 2 0.07 0.09 3 0.10 0.10 4 0.11 0.20 5 0.02 0.05 6 0.15 0.25 7 0.08 0.05 8 0.09 0.10 9 0.12 0.10 10 0.05 0.05 Obs E(RF) Prob 1 -0.01 0.01 2 0.10 0.09 3 0.15 0.10 4 0.20 0.20 5 0.08 0.05 6 0.25 0.25 7 0.13 0.05 8 0.09 0.10 9 0.11 0.10 10 0.06 0.05 Required: Based on the following information (Note: You can use Microsoft Excel functions to…
Determine the present value of the following single amounts. Note: Use tables, Excel, or a financial calculator. Round your final answers to nearest whole dollar amount. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) 1. 2 3. 4. Future Amount $ $ $ $ 32,000 26,000 37,000 52,000 i= 5% 6% 11% 10% n = 11 19 40 13 Present Value