goodwill will be recorded
Q: Brenda, Cynthia, and Kimberly have partnership capital account balances of $91000 each. Profit and…
A: A partnership is an agreement between two or more persons in which they agree to do business to earn…
Q: Nicole's basis in her partnership interest was $160,000, including her $50,000 share of partnership…
A: A partnership is a type of business structure in which two or more individuals, called partners,…
Q: Mace and Bowen are partners and share equally in income or loss. Mace's current capital balance is $…
A: Partnership is a form of business in which two or more person come together to start a business. The…
Q: Frank, George, and Scott are partners with capital accounts of $160,000, $120,000, and $210,000,…
A: Solution: Bonus amount given to Scott = $250,000 - $210,000 = $40,000 Bonus to retiring partner will…
Q: Katy, Perry and Lacoste are partners sharing profits equally and with capital balances of P 80,000,…
A: The bonus method of partnership represents the method that is used to provide the new partner…
Q: The balance sheet for the partnership of Nina, Pinta, and Santa Maria at January 1, 2014 follows.…
A: Profit on revaluation of assets = Fair value - assets at cost = P540000 - 480000 = P60,000
Q: Meir, Benson, and Lau are partners and share income and loss in a ratio (in percents: Meir, 20%;…
A: INTRODUCTION:An agreement between partners in a company that specifies the terms and circumstances…
Q: Long-term partners, A, B, and C have capital balances of P120,000, P80,000 and P120,000,…
A: When two or more people start a business together and work hard for one goal, and share the profits…
Q: The E.N.D. partnership has the following capital balances as of the end of the current year:…
A: Goodwill amount received by Fergie = Total amount received - capital balance = 297000-260000 =…
Q: After the tangible assets have been adjusted to fair values, the capital accounts of Rey Refozar and…
A: Partnership is a organization in which business is owned by two or more people & profits are…
Q: Nicole's basis in her partnership interest was $160,000, including her $50,000 share of partnership…
A: A partnership is a type of business structure in which two or more individuals, called partners,…
Q: Faith, Hope, and Love are partners sharing profits and losses in the ratio 221 and have capital…
A: It is given that Mercy Paid directly to love 220000 for 1/2 of her share for becoming a partner in…
Q: The E.N.D. partnership has the following capital balances as of the end of the current year: Answer…
A: Under the bonus method, the total capital investment is calculated by adding the investment of new…
Q: Hill, Williams, and Kelce are partners and share income in a 1:2:2 ratio (in ratio form: Hill, 1/5;…
A: = 50 % ( $21000 - $15000 ) = 50% × $6000 $3000
Q: Nancy and Betty enter into a partnership agreement whereby they undertake to share profits according…
A: The partnership comes into existence when two or more persons agree to do the business and share…
Q: Nilupak, Biko andMaja Blancaare partners with capital balances of P324,300, P207,000 and P158.700.…
A: Explanation: As the question says that Biko's share is debited by 27,000 on revaluation of assets.…
Q: K, F, and G are partners with capital balances of $60,000, $40,000 and $30,000 and who share in the…
A: A partnership is a sort of business in which two or more people work together to accomplish a common…
Q: James invests $19000 in cash (admission by investment) in the Seiler-Shaw partnership to acquire a…
A: Answer:- Partnership meaning:- Partnership is basically an agreement between two or more persons to…
Q: FB Manufacturing Company is a partnership among Yolando Gonzalez, Willies Todd, and Linda Walkers.…
A: Partnership: A partnership is that type of business in which two or more person share loss and…
Q: The E.N.D partnership has the following capital balances as of the end of the current year: Pineda…
A: At the time of retirement, the retiring partner is eligible for his share of goodwill as the…
Q: Myles Etter and Crystal Santori are partners who share in the income equally and have capital…
A: Partnership It is that form of organization which is owned and managed by two or more persons who…
Q: In the partnership of A, B and C, partner C decided to withdarw from the partnership. The partners…
A: Retirement of Partner from Partnership: A retiring partner or departing partner is a partner who has…
Q: On May 1, 2021, Cobb and Mott formed a partnership and agreed to share profits and losses in the…
A: Partnership: This is the form of business entity which is formed by an agreement, owned and managed…
Q: The E.N.D. partnership has the following capital balances as of the end of the current year:…
A: Excess amount paid = Fergie retires and is paid - Fergie's capital balance = $280,000-250,000 =…
Q: The balance of Partner B's Capital account after the sale is
A: A partnership business is the form of business, where two or more parties enter into an agreement to…
Q: A and B formed a partnership. The partnership agreement stipulates the following: • Annual salary…
A: Partnership means where two or more person comes together to do some common business activity and…
Q: Lindsey and Ruth are partners with capital balances of P 60,000 and P 20,000, respectively. Profits…
A: Partnership refers to the legal form of agreement between two or more partners who have mutually…
Q: John and Paul are partners who share profits and losses in the ratio of 3:2 respectively. John’s…
A: The total partnership income is calculated by adding all the allocations as per the articles of…
Q: B. Higgins, J. Mayo, and N. Rice have capital balances of $87,500, $80,000, and $66,000,…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: John and Paul are partners who share profits and losses in the ratio of 3:2 respectively. Their…
A: Business organization means a combination of all resources to form out entity to run a business.…
Q: A local partnership is liquidating and has only two assets (cash of $10,000 and land with a cost of…
A: SOLUTION WORKING NOTE 1- CALCULATE THE LOSS ON SALE ON LAND = LOSS ON SALE ON LAND =…
Q: Lear is to become a partner in the WS partnership by paying $80,000 in cash to the business. At…
A: Admission of a partner usually happens when a new partner brings in capital and infused it in the…
Q: The E.N.D. partnership has the following capital balances as of the end of the current year:…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: Please do not provide solution in image formate thank you. A, B, C, and D are equal partners in the…
A: "Ordinary income" refers to income earned through regular business activities, such as wages,…
Q: B. Higgins, J. Mayo, and N. Rice have capital balances of $93,500, $83,000, and $63,000,…
A: The journal entries are prepared to record the transactions on a regular basis. The bonus is paid to…
Q: Katrina was an S corporation shareholder. After her initial contributions, she had the following tax…
A: Stockholder's Equity includes the amount contributed by shareholders issued in the form of common…
Q: Peary has $91,500 capital and Hammet has $43,500 capital in the Peary & Hammet partnership. Peary…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Friends Partnership has three partners. The balance of each partner' capital is: Alia $48,000,…
A: Partnership means the agreement between the two or more person to do the business together and share…
Yuca has decided to retire from the partnership of Yuca, Batata, and Ñame. The partnership will pay Yuca $400,000. Total partnership capital should be revalued based on the excess payment to Yuca. The book values of the assets equals fair values. Yuca, Batata, and Ñame share
Yuca, Capital: $320,000
Batata, Capital: $280,000
Ñame, Capital: $600,000
What
Step by step
Solved in 3 steps
- The E.N.D. partnership has the following capital balances as of the end of the current year: Pineda $ 150,000 Adams 130,000 Fergie 120,000 Gomez 110,000 Total capital $ 510,000 Answer each of the following independent questions: Assume that the partners share profits and losses 3:3:2:2, respectively. Fergie retires and is paid $160,000 based on the terms of the original partnership agreement. If the goodwill method is used, what is the capital balance of the remaining three partners? Assume that the partners share profits and losses 4:3:2:1, respectively. Pineda retires and is paid $285,000 based on the terms of the original partnership agreement. If the bonus method is used, what is the capital balance of the remaining three partners? (Do not round your intermediate calculations. Round your final answers to the nearest dollar amounts.) Capital Balance a. Pineda Adams Gomez b. Adams Fergie GomezThe E.N.D. partnership has the following capital balances as of the end of the current year: Pineda Adams Fergie Gomez Total capital Answer each of the following independent questions: a. Assume that the partners share profits and losses 3:3:2:2, respectively. Fergie retires and is paid $270,000 based on the terms of the original partnership agreement. If the goodwill method is used, what is the capital balance of the remaining three partners? b. Assume that the partners share profits and losses 4:3:2:1, respectively. Pineda retires and is paid $350,000 based on the terms of the original partnership agreement. If the bonus method is used, what is the capital balance of the remaining three partners? (Do not round your Intermediate calculations. Round your final answers to the nearest dollar amounts.) a. Pineda Adams $ 300,000 260,000 230,000 210,000 $1,000,000 Gomez b. Adams Fergie Gomez Capital BalanceA local partnership is liquidating and has only two assets (cash of $10,000 and land with a cost of $35,000). All partnership liabilities have been paid. All partners are personally insolvent. The partners have capital balances and share profits and losses as follows. If the land is sold for $25,000, how much cash does each partner receive in a final settlement? If the land is sold for $15,000, how much cash does each partner receive in a final settlement? If the land is sold for $5,000, how much cash does each partner receive in a final settlement?
- The following capital balances as of October 31 , 2016 for the Partnership of Wilma , Xelyn and Yska were as follows : Wilma , Capital 204,000 Xelyn , Capital 132,000 Yska , Capital 360,000 Wilma has decided to retire from the partnership on October 31. Their profit and loss ratio is 3/4 / 3 to Wilma , Xelyn and Yska , respectively . The partnership will purchase the interest of Wilma by paying 234,000. Questions 1. How much is the TOTAL Goodwill? 2. What amount of capital will be credited to Xelyn? 3. What amount of capital will be credited to Yska? 4. How much is Total Adjusted Capital after Wilma has retired ?Xion and Boy are allies with $50,000,000 and $60,000,000 in capital balances, respectively. They received Andre for a 1/3 ownership interest in the capital and profits of the partnership with an investment of $65,000,000. If the goodwill procedure is used to record Andre's entry into the partnership: a). Boy's capital to $70,000,000 b).Goodwill will be recorded at a value of $15,000,000 c). Total capital to $175,000,000 d). Andre's capital becomes $58,333,333Item No. 15 is based on the following information: Gua, Ay, and Dee are partners with average capitals of P 300,000, P 200,000, P 500,000, respectively during 200D. The partners are entitled to salaries of P 20,000 each plus 10% interest on their average capital. After deducting the salaries and interest, the residual profit is to be evenly shared. During the year 200D, the partnership incurred a loss of P 20,000. 15. What would happen to Dee's capital at the end of 20OD? a. Increase by P 10,000. c. Decrease by P 8,000. b. Decrease by P 10,000. d. Decrease by P 2,000.
- The E.N.D. partnership has the following capital balances as of the end of the current year: Pineda $ 270,000 Adams 240,000 Fergie 230,000 Gomez 220,000 Total capital $ 960,000 Answer each of the following independent questions: Assume that the partners share profits and losses 3:3:2:2, respectively. Fergie retires and is paid $269,000 based on the terms of the original partnership agreement. If the goodwill method is used, what is the capital balance of the remaining three partners? Assume that the partners share profits and losses 4:3:2:1, respectively. Pineda retires and is paid $355,000 based on the terms of the original partnership agreement. If the bonus method is used, what is the capital balance of the remaining three partners? (Do not round your intermediate calculations. Round your final answers to the nearest dollar amounts.)Dexter, Edwards, and French are partners with the following capital balance and profit and loss sharing percentages: Dexter $200,000 (70%) Edwards 120,000 (20%) French 60,000 (10%) It is agreed that Edwards will withdraw from the partnership and receive his capital balance plus his share of any increase in the fair value over book value of the underlying assets of the partnership. Assume the total increase in fair value is $100,000. a. if the bonus method is used what is the balance in Dexter’s capital account after the withdrawal of Edwards? b. if the goodwill method is used, what is the balance of the French’s capital account after the withdrawal of Edwards? Answer a and b bothPeters and Chong are partners and share equally in income or loss. Peters' current capital balance is $150,000 and Chong's is $140,000. Peters and Chong agree to accept Aaron with a 30% interest in the partnership. Aaron invests $118,000 in the partnership. The amount credited to Aaron's capital account is: Multiple Choice $122,400. $118,000. $268,000. $80,400. $128,000.
- "Partner A, Partner B, Partner C, and Partner D have decided to terminate their partnership. The partnership's balance sheet at the time they decide to wind up is as follows: Cash 100000, Noncash Assets 300000, Accounts Payable 100000, Partner A Capital 25000, Partner B Capital 110000, Partner C Capital 100000,Partner D Capital 65000. During the winding up of the partnership, the other assets are sold for $150,000 and the accounts payable are paid. Partner B and Partner C are personally solvent, but Partner A and Partner D are personally insolvent. The partners share profits and losses in the ratio of 4:2:1:3. what amount will be distributed to Partner B upon liquidation of the partnership?" 11667 68333 110000 80000Alpha and Beta are partners who share income in the ratio of 1:2 and have capital balances of $41,700 and $79,200, respectively, at the time they decide to terminate the partnership. Noncash assets with a book value of $120,900 are sold for $75,000. What amount of loss on realization should be allocated to Alpha? a.$75,000 b.$41,700 c.$25,000 d.$15,300After the tangible assets have been adjusted to current market prices, the capital accounts of Grayson Jackson and Harry Barge have balances of $64,900 and $86,500, respectively. Lewan Gorman is to be admitted to the partnership, contributing $43,300 cash to the partnership, for which he is to receive an ownership equity of $50,500. All partners share equally in income. a. Journalize the entry to record the admission of Gorman, who is to receive a bonus of $7,200. If an amount box does not require an entry, leave it blank. Cash Grayson Jackson, Capital Harry Barge, Capital Lewan Gorman, Capital b. What are the capital balances of each partner after the admission of the new partner? Partner Balance Grayson Jackson $ Harry Barge $ Lewan Gorman $