Link to CengageNow for FinanX My Home CengageNOWv2 | Online teach X MindTap - Cengage Learning X 25 https://v2.cengagenow.com/ilrn/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocat 120% Ch. 12, Practice Quiz eBook Calculator Print Item Partner bonuses, statement of partnership equity The partnership of Angel Investor Associates began operations on January 1, 20Y5, with contributions from two partners as follows: Dennis Overton $180,000 Ben Testerman 120,000 The following additional partner transactions took place during the year: 1. In early January, Randy Campbell is admitted to the partnership by contributing $75,000 cash for a 20% interest. 2. Net income of $150,000 was earned in 20Y5. In addition, Dennis Overton received a salary allowance of $40,000 for the year. The three partners agree to an income-sha equal to their capital balances after admitting CampbellI. 3. The partners' withdrawals are equal to half of the increase in their capital balances from salary allowance and income. Prepare a statement of partnership equity for the year ended December 31, 20Y5. Angel Investor Associates Statement of Partnership Equity For the Year Ended December 31, 20Y5 Dennis Overton, Capital Ben Testerman, Capital Randy Campbell, Capital Total Partnership Capital Balances, January 1, 20Y5 $ 180,000 $120,000 24 $300,000 Admission of Randy Campbell 75,000 V 75,000 Salary allowance 40,000 55,000 X. 22,000 Remaining income Partner withdrawals Drovious O Type here to search 57
Link to CengageNow for FinanX My Home CengageNOWv2 | Online teach X MindTap - Cengage Learning X 25 https://v2.cengagenow.com/ilrn/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocat 120% Ch. 12, Practice Quiz eBook Calculator Print Item Partner bonuses, statement of partnership equity The partnership of Angel Investor Associates began operations on January 1, 20Y5, with contributions from two partners as follows: Dennis Overton $180,000 Ben Testerman 120,000 The following additional partner transactions took place during the year: 1. In early January, Randy Campbell is admitted to the partnership by contributing $75,000 cash for a 20% interest. 2. Net income of $150,000 was earned in 20Y5. In addition, Dennis Overton received a salary allowance of $40,000 for the year. The three partners agree to an income-sha equal to their capital balances after admitting CampbellI. 3. The partners' withdrawals are equal to half of the increase in their capital balances from salary allowance and income. Prepare a statement of partnership equity for the year ended December 31, 20Y5. Angel Investor Associates Statement of Partnership Equity For the Year Ended December 31, 20Y5 Dennis Overton, Capital Ben Testerman, Capital Randy Campbell, Capital Total Partnership Capital Balances, January 1, 20Y5 $ 180,000 $120,000 24 $300,000 Admission of Randy Campbell 75,000 V 75,000 Salary allowance 40,000 55,000 X. 22,000 Remaining income Partner withdrawals Drovious O Type here to search 57
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Link to CengageNow for FinanX
My Home
CengageNOWv2 | Online teach X
MindTap - Cengage Learning X
25 https://v2.cengagenow.com/ilrn/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocat
120%
Ch. 12, Practice Quiz
eBook
Calculator
Print Item
Partner bonuses, statement of partnership equity
The partnership of Angel Investor Associates began operations on January 1, 20Y5, with contributions from two partners as follows:
Dennis Overton
$180,000
Ben Testerman
120,000
The following additional partner transactions took place during the year:
1. In early January, Randy Campbell is admitted to the partnership by contributing $75,000 cash for a 20% interest.
2. Net income of $150,000 was earned in 20Y5. In addition, Dennis Overton received a salary allowance of $40,000 for the year. The three partners agree to an income-sha
equal to their capital balances after admitting CampbellI.
3. The partners' withdrawals are equal to half of the increase in their capital balances from salary allowance and income.
Prepare a statement of partnership equity for the year ended December 31, 20Y5.
Angel Investor Associates
Statement of Partnership Equity
For the Year Ended December 31, 20Y5
Dennis Overton, Capital Ben Testerman, Capital Randy Campbell, Capital Total Partnership Capital
Balances, January 1, 20Y5
$ 180,000
$120,000
24
$300,000
Admission of Randy Campbell
75,000 V
75,000
Salary allowance
40,000
55,000
X.
22,000
Remaining income
Partner withdrawals
Drovious
O Type here to search
57
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