Partnership A, B and C is a law firm. You have been engaged as accountant to prepare financial statements for the year ended Dec. 31, 2019 Partnerships profits are alllocated based fist on salaries,then on interest on opening capital balances then on fixed ratio. Salary allocation amount are A $100000 B $100000 C $160000 Opening capital balances A $70000 B $60000 C $70000 Interest rate is: 5% Fixed ratio is A 3 B 2 C 5 required Prepare year end adjusting entries Allocate partnership profit or loss to each partner Prepare adjusting entry and complete trial balnce Prepare income statement and statement of partners capital for the year ended Dec. 31, 2019 and a balance sheet for Dec.31
Partnership A, B and C is a law firm. You have been engaged as accountant to prepare financial statements for the year ended Dec. 31, 2019
Partnerships profits are alllocated based fist on salaries,then on interest on opening capital balances then on fixed ratio.
Salary allocation amount are
A $100000
B $100000
C $160000
Opening capital balances
A $70000
B $60000
C $70000
Interest rate is: 5%
Fixed ratio is
A 3
B 2
C 5
required
Prepare year end
Allocate partnership profit or loss to each partner
Prepare adjusting entry and complete trial balnce
Prepare income statement and statement of partners capital for the year ended Dec. 31, 2019 and a
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