on your knowledge, thank you!) Direction: Give the entries to record the distribution based on the following two independent cases: a) Partner's drawings are not used in determining the average capital balances b) All changes in capital and drawing should be considered in determining the average capital balances. 12. Bert, Ben and Bello are partners in a sports equipment store with capital i
on your knowledge, thank you!) Direction: Give the entries to record the distribution based on the following two independent cases: a) Partner's drawings are not used in determining the average capital balances b) All changes in capital and drawing should be considered in determining the average capital balances. 12. Bert, Ben and Bello are partners in a sports equipment store with capital i
on your knowledge, thank you!) Direction: Give the entries to record the distribution based on the following two independent cases: a) Partner's drawings are not used in determining the average capital balances b) All changes in capital and drawing should be considered in determining the average capital balances. 12. Bert, Ben and Bello are partners in a sports equipment store with capital i
11. Amber and Berta share profits and losses equally after a 10% interest on their average capital balances. Consider additional capital contributions and permanent withdrawals as made at the end of the month. Total net income after tax for 2019 is P320,000.
(see attached image, kindly answer it based on your knowledge, thank you!)
Direction:Give the entries to record the distribution based on the following two independent cases:
a) Partner's drawings are not used in determining the average capital balances
b) All changes in capital and drawing should be considered in determining the average capital balances.
12. Bert, Ben and Bello are partners in a sports equipment store with capital investments of P150,000, P200,000 and P300,000, respectively. Partnership agreement provides for the following monthly salary of P10,000 to Ben who is the managing partner, 12% interest on capital contributions, remaining profit to be allocated equally.
Direction: For Ben to be credited for a profit share of P200,000, how much should the company earn?
17. Beth, Luz and Ana divide profit and loss in the ratio of 2:1:1 respectively, after giving a monthly salary of P10,000 to each partner and bonus of 20% to Beth. Determine the share of each partner and record the distribution on the following independent situations:
a) Net income earned was P480,000 and bonus is based on net income before salaries and bonus.
b) Net income earned was P480,000 and bonus is based on net income after salaries and bonus.
c) Net loss for the year was P480,000 and bonus based on net income before salaries and bonus.
Transcribed Image Text:drawings and capital accounts.
12. Bert, Ben and Bello are partners in a sports equipment store with capital investments of
following: monthly salary of P10,000 to Ben who is the managing partner, 12% interest
P150,000, P200,000 and P300,000, respectively. Partnership agreement provides for the
11. Amber and Berta share profits and losses equally after a 10% interest on their average
capital balances. Consider additional capital contributions and permanent withdrawals as
made at the end of the month. Total net income after tax for 2019 is P320,000.
January 1 capital balances
Additional investment of capital: March 15
Permanent withdrawal of capital: April 12
Drawings for each on October 28
Amber
P 105,000
20,000
Berta
P 140,000
( 15,000)
40,000
50,000
Direction: Give the entries to record the distribution based on the following tho
independent cases:
a) Partners' drawings are not used in determining the average capital balances.
b) All changes in capital and drawing should be considered in determining the averee
capital balances.
88
on capital contributions, remaining profit to be allocated equally.
Direction: For Ben to be credited for a profit share of P200,000, how much should the
company earn?
Transcribed Image Text:years.
17. Beth, Luz and Ana divide profit and loss in the ratio of 2:1:1 respectively, after givine.
monthly salary of P10,000 to each partner and bonus of 20% to Beth. Determine the sh4
of each partner and record the distribution on the following independent situations:
a) Net income earned was P480,000 and bonus is based on net income before salaries
and bonus.
b) Net income earned was P480,000 and bonus is based on net income after salaries and bonus
c) Net loss for the year was P480,000 and bonus based on net income before salaries and bonus
18
Refar
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.
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