On May 1, 2022, Carlo and Jamie formed a partnership agreeing to share profits and losses in the ratio of 2:3 respectively. Jamie invested a parcel of land that cost her P250,000. Carlo invested P300,000 cash. The land was sold for P500,000 on the same date, three hours after formation of the partnership. How much should be the initial total capitalization of the partnership?
Q: o. computed a pre-tax financial income of 15,000,000 for the year ended Dec. 31, 201X. In preparing…
A: Explanation of Concept Deferred Tax Assets / Deferred tax Liability : are to be calculated when…
Q: What adjustment is required when a check written in a prior month appears on the bank statement for…
A: A bank statement is just a monthly document sent by a bank to its customers that lists the…
Q: Over 120 days 50% tequirements: 1. If there were no other entries to the allowance for doubtful…
A: The balance of Accounts receivable and the allowance for doubtful debts for LOPEZ Inc. as on…
Q: Accounting BONUS MARK: A small manufacturing firm, 'G&N Ltd' makes whistles. During November 2,600…
A: The net income is calculated as difference between sales and total expenses.
Q: 5. The accounts receivable for PEA Company was P140,000 at the beginning of the year and P180,000 at…
A: solution note dear student as per the Q&A guideline we are required to answer the first question…
Q: S Company reported net income for 2021 in the amount of $400,000. The company's financial statements…
A: Increase in current assets / Decrease in current liabilities are subtracted from the net income.…
Q: ident citizen provid ar:
A: Income tax is the tax levied on the total income generated during the accounting period by the state…
Q: 2,032,000 1,890,000 1,440,000 180,000 80,000
A: . Outstanding Checks have been added because the entity has already credited Bank a/c in books but…
Q: Q.3.2 Record the packaging machine as it would appear in the asset register at 31 December 2021…
A: ASSET REGISTER MACHINE : PACKING MACHINE DATE COST DEPRECIATION ACCUMULATED DEPRECIATION…
Q: Using accrual basis, how much is the reportable gross income in 2021? A. 8,000,000 B. 9,000,000 C.…
A: Accrual basis of accounting is that basis under which all revenues earned during the period and all…
Q: TRANSACTION IMr. U contributed 600,000 Obtain loan 400,000 3Purchased Inventory 200,000 cash basis…
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: The standard rate of pay is $12 per direct labor hour, If the actual direct labor payroll was $42336…
A: Lets understand the basics. Direct labor rate variance is a variance between the standard rate at…
Q: ue if Sandbox orporation which is an SME domestic prporation reported the allowing aross income
A: Tax:- A tax is the compulsory payment which is imposed by the government on income and capital gain…
Q: firm has an average age of inventory of 60 days, an average collection period of 40 days, and an…
A: Operating cycle formula: Inventory period + average collection period Net operating cycle:…
Q: Ludwig Company's prepaid rent was $9,000 at December 31, 2020, and $13,000 at December 31, 2021.…
A: Cash flows from operating activities: It is a section of the Statement of cash flow that explains…
Q: been asked to provide a training sessiondraft to new Audit Juniors on Accountants responsibilities…
A: Illustrations of Money Laundering - – Using the money received from doing criminal activities such…
Q: Which of the following is not an objective of the cash audit? determine that a. A long-term…
A: Objectives of Cash Audit One of the objectives for a cash audit is to verify that the recorded cash…
Q: ABC Company has sales of $500,000, COGS of $250,000, operating expenses of $200,000, net income of…
A: The times interest earned ratio is calculated as EBIT or operating income divided by Interest…
Q: 32.3A Show the journal entries needed to correct the following errors: (a) Purchases £1,410 on…
A: Rectification entry means where some error has been done in past and we need to rectify that errors.…
Q: Required: Identify book of prime entries. Prepare the specialized journal Prepare the subsidiary's…
A: Journal is Book of Prime entry because all business transactions are recorded first in Journal Book.…
Q: Much capital structure theory focusses upon minimising agency costs, taxes, and bankruptcy costs. It…
A: option 1 is correct
Q: Problem 9-2 (IAA) Hesay Company provided the following information for the current year: Sales…
A: Cost of goods sold- The cost of goods sold is the cost of producing the goods that a business sells.…
Q: b. An unearned commissionaccount in thetrial balance atthe end of the year showed a balance of…
A: The adjustment entries are prepared to adjust the revenue and expenses of the period.
Q: aders owns the following assets on 31 December 2021: rd EcoSport- CS 23 TM GP: Purchased on…
A: Accumulated depreciation refers to an asset's depreciation up to a single point in its life. Because…
Q: Which statement is false? a. A trial balance lists all the accounts with their current balances.…
A: Introduction: The balance sheet, also known as the Statement of Financial Position, is a summary…
Q: he answer choices are listed as follows: A. 12.91% B. 12.88% C. 11.38% D.
A: Bond is that debt instrument which is used by the organization to finance its long term fund needs,…
Q: This characteristic explains why partners have a right to choose or refuse who they want to be…
A: A partnership is a form of business that agrees to carry a business and share the profits according…
Q: ABC corporation produces plastic bottles. Details of cost are given below: Standard unit quantity…
A: Materials price variance is the variance between standard cost of materials and actual cost of…
Q: On January 1, 2023, the city government provided Swerte Company a zero interest, P6,000,000 loan…
A: In this Question, this is a zero-coupon bond having no interest. Therefore in this, we will…
Q: Forever Incorporated’s partial income statement after its first year of operation is as follows:…
A: Business organizations are required to charge the depreciation expense so that the assets are shown…
Q: Apple Inc. changed from LIFO to the FIFO inventory costing method on January 1, 2021. Costs of goods…
A: Changes in the method of inventory always impacted the retained earnings of the company. In case of…
Q: Assuming the Kreditor / Marble Partnership has $20,000 of net income for the year, the closing entry…
A: Partnership Account - A partnership is a mutual agreement enter into two or more entities for the…
Q: Happy Inc. provided the following information: Beginning balance of Accounts receivable P5,000,000…
A: The cash basis system state that the revenue should be recorded when the actual amount of cash is…
Q: Prepare a depreciation schedule for the tax purposes (Annual depreciation and Book value) by…
A: In the Declining Balance method, LN calculates each year's total depreciation by applying a constant…
Q: ABC Corporation reports on a calendar year. On August 15, 2020, it stopped business due to…
A: A tax year is an annual accounting period for paying taxes, keeping records and reporting income and…
Q: Krueger Corporation manufactures a single product whose selling price is $134 per unit and whose…
A: In order to determine the units sales to attain a target profit, the fixed cost plus target profit…
Q: During the year, cash increased by $300 million. Investing and financing activities created positive…
A: Cash flow from operations = Total increase in cash - Cash flow from investing and financing…
Q: In 2009, Bratz, Inc.’s net profit before tax was P35 million while its operating expenses was P31…
A: Net earnings are profits after deducting the GP's operational expenditures. To calculate the ending…
Q: Maurice, single, has wages of $215,114 and net investment income of $40,000 in 2021. His AGI (MAGI)…
A: Concept of net investment income tax: Net investment income tax is the tax on net investment income…
Q: The Hi Life Co (HL Co) makes sofas. It has recently received a request from a customer to provide a…
A: Direct Materials: Since the fabric is regularly used by HL Co. and is currently sufficiently…
Q: Answer the following : What is Special Journals? In your own words describe and explain clearly and…
A: Special journal is the journal which helps to record the financial transactions, In this each…
Q: Define Liabilities and Equity
A: its assets, debts, equity (equity) equity, short- and long-term loans, and other related items A…
Q: AGF partnership begins its first year of operation with the following capital balances and profit…
A: P&L Appropriation Account…
Q: PROBLEM NO 1 Watusi Inc. began operations in January 2021 and reported the following results for…
A: Ordinary shares are shares in a company with individual owners who can vote at company events and…
Q: Provide a 150 words reflection/key takeways about Cost and Performance Monitoring in Distribution…
A:
Q: Deductions are allowed to: Employed taxpayers Individual taxpayers only Corporate…
A: Deduction refers to the claim to reduce the overall taxable income of the tax payer.
Q: What is the taxable compensation income of an employee who received the following: Gross…
A: Taxable Income: - Taxable Income is the adjusted gross income upon which income tax is imposed. It…
Q: Bebe Corporation has an EUP of 248,750 units. Beginning inventory units of 22,500, 40% incomplete;…
A: Process costing is that method of costing which is used for industries where product has to go…
Q: Which of these employees benefits is subject to fringe benefit tax? Fringe benefits to rank and…
A: Fringe Benefit Tax: A fringe benefit is any no-wage payment or benefit that is offered to workers by…
Q: GIVEN: Taxpayer is a proprietary educational institution. Taxable period is 2021. • Financial data:…
A: Income Tax: - Income Tax is the tax that is imposed by the government on the income generated by a…
Step by step
Solved in 2 steps
- Chani contributes equipment to a partnership that she purchased 2 years ago for $10,000. The current book value is $7,500 and the market value is $9,000. At what value should the partnership record the equipment? A. $10,000 B. $9,000 C. $7,500 D. none of the aboveOn May 1, 2022, AA and BB formed a partnership, agreeing to share profits and losses in the ratio of 2:4, respectively. AA invested a portion of land, acquired at P300,000, which was sold immediately at P500,000. BB invested cash of P1 million. How much should be the capital balance of AA right after the partnership formation?On December 1, 2022, EE and FF formed a partnership, agreeing to share for profits and losses in the ratio of 2:3, respectively. EE invested a parcel of land that cost him P25,000. FF invested P30,000 cash. The land was sold for P50,000 on the same date, three hours after formation of the partnership. How much should be the capital balance of EE right after formation?
- On December 1, 2022, J and P formed a partnership. J invested land with a cost of P250,000. P invested P50,000 cash. On the date of formation, the land was sold for P50,000. They agreed to share profits and losses in the ratio of 2:3 to J and P, respectively. What is the capital balance of J after partnership formation?On December 1, 2020, Louie and Kaye Ann formed a partnership, agreeing to share for profits and losses in the ratio of 2:3, respectively. Louie invested a parcel of land that cost him P25,000. Kaye Ann invested P30,000 cash. The land was sold for P50,000 on the same date, three hours after formation of the partnership. How much should be the capital balance of Louie right after formation?a. P25,000 c. P60,000b. 30,000 d. 50,000On February 1, 2022, AA and BB formed a partnership and agreed to share profits in the ratio of 4:6, respectively. AA contributed a laptop which cost him P68,000 and was estimated to have a value of P50,000 on date of formation. BB contributed cash of P250,000. How much is the capital account of BB upon formation of the partnership?
- On October 1, 2021, Pamu and Kevin formed a partnership and agreed to share profits and lossesin the ratio of 3:7, respectively. Balances of capital accounts should be in accordance with the profitand loss percentage on the date of partnership formation. Pamu contributed a parcel of land that costher P200,000. Kevin contributed P300,000 cash. The land has a quoted price of P360,000 on October1, 2021. What amount should be recorded in Pamu’s capital account upon formation of thepartnership assuming the use of bonus method? a. P150,000b. P198,000c. P200,000d. P360,000On May 1, 2018, Jose and Pedro formed a partnership and agreed to share profits and losses in the ratio of 3:7, respectively. Jose contributed a computer that cost himP50,000. Pedro contributed P200,000 cash. The computer was sold for P55,000 on May 1, 2018 immediately after the formation of the partnership. What amount should be recorded in Jose’s capital account on formation of the partnership?a. P55,000 b. P51,500 c. P60,000 d. P50,000Juan, Pedro and Pablo agreed to form a partnership on June 1, 2022. Juan contributed inventory costing P50,000 with fair market value of P80,000; Pedro contributed a building with fair market value of P500,000. The partners agreed to record the building at P400,000. Pablo would like to have a 40% interest in the partnership. How much cash should Pablo invest?
- 1. On December 1, 2020, Antipolo and Bunao formed a partnership, agreeing to share for profits and losses in the ratio of 2:3, respectively. Antipolo invested a parcel of land that cost him P134,375. Bunao invested P161,250 cash. The land was s old for P268,750 on the same date, three hours after formation of the partnership. How much should be the capital balance of Antipolo right after formation? a. P134,375 b. P161,250 C. P322,500 d. P268,750On February 1, 2022, AA and BB formed a partnership and agreed to share profits in the ratio of 46 respectively AA contributed a laptop which cost him P68,000 and was estimated to have a value of P50.000 on date of formation. BB contributed cash of P250,000. How tmuch is the capital account of BB upon formation of the partnership?1. On May 1, 2019, Gonzaga and Balace formed a partnership and agreed to share profits and losses in the ratio of 3:7, respectively. Gonzaga contributed a parcel of land that cost P10,000. Balace contributed P40,000 cash. The land was sold for P18,000 on May 1,2019, immediately after formation of the partnership. What amount should be recorded in Gonzaga's capital account on formation of the partnership? a. P15,000 b. P17,400 C. P10,000 d. P18,000