Emilio and Graciela joined together to form a partnership. Emilio contributed a patent, account receivable and $ 35,000 cash to a partnership. The patent had a book value of $ 9,000. The technology covered by the patent has significant market potential. For this reason, the patent was appraised at $ 78,000. Provide the journal entry for Emilio and Graciela Assuming that Fisher is planning to join the Emilio and Graciela’s partnership. Fisher contributed land, inventory and $ 45,000 cash to a partnership. The land has a book value of $ 150,000 and the market value of $ 175,000. The inventory had a book value of $ 65,000 and the market value of $ 27,000. The partnership had a $ 23,000 note payable owed by Fisher that was originally to purchase the land. Provide the journal entry for Fisher’s contribution to partnership. Prior to liquidation their partnership, Manning and Adamo had capital account of $ 50,000 and $ 105,000 respectively. Prior to liquidation, the partnership had no cash assets other than what was realised from the sale of assets. These partnership assets were sold for $ 190,000. The partnership had $ 10.000 of liabilities. Manning and Adamo share income and losses equally. Determine the amount received by Manning and Adamo from liquidation of their partnership.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

Emilio and Graciela joined together to form a partnership. Emilio contributed a patent, account receivable and $ 35,000 cash to a partnership. The patent had a book value of $ 9,000. The technology covered by the patent has significant market potential. For this reason, the patent was appraised at $ 78,000. Provide the journal entry for Emilio and Graciela

Assuming that Fisher is planning to join the Emilio and Graciela’s partnership. Fisher contributed land, inventory and $ 45,000 cash to a partnership. The land has a book value of $ 150,000 and the market value of $ 175,000. The inventory had a book value of $ 65,000 and the market value of $ 27,000. The partnership had a $ 23,000 note payable owed by Fisher that was originally to purchase the land. Provide the journal entry for Fisher’s contribution to partnership.

Prior to liquidation their partnership, Manning and Adamo had capital account of $ 50,000 and $ 105,000 respectively. Prior to liquidation, the partnership had no cash assets other than what was realised from the sale of assets. These partnership assets were sold for $ 190,000. The partnership had $ 10.000 of liabilities. Manning and Adamo share income and losses equally. Determine the amount received by Manning and Adamo from liquidation of their partnership.

Definition Definition Arrangement between two or more people whereby they agree to manage business operations and share its profits and losses in an agreed ratio. The agreement drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, and drawings of a partner.

Expert Solution

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions