The following condensed balance sheet is presented for the partnership of Der, Egan, and Oprins, who share profits and losses in the ratio of 4:3:3, respectively. Cash $ 40,000 Accounts Payable $ 150,000 Other Assets 710,000 Der, Capital 260,000 Egan, Capital 180,000 Oprins, Capital 160,000 Total Assets $ 750,000 Total Liabilities and Capital $ 750,000 Assume that the partnership decides to admit Snider as a new partner with a 25 percent interest. g. Other assets are revalued down by $20,000 and a bonus of $40,000 is paid to Snider at the time of admission. CREATE THE FOLLOWING JOURNAL ENTRY PLEASE: Record the revaluation of the assets and the allocation of the loss to the partners

The following condensed balance sheet is presented for the partnership of Der, Egan, and Oprins, who share profits and losses in the ratio of 4:3:3, respectively. Cash $ 40,000 Accounts Payable $ 150,000 Other Assets 710,000 Der, Capital 260,000 Egan, Capital 180,000 Oprins, Capital 160,000 Total Assets $ 750,000 Total Liabilities and Capital $ 750,000 Assume that the partnership decides to admit Snider as a new partner with a 25 percent interest. g. Other assets are revalued down by $20,000 and a bonus of $40,000 is paid to Snider at the time of admission. CREATE THE FOLLOWING JOURNAL ENTRY PLEASE: Record the revaluation of the assets and the allocation of the loss to the partners

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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A partnership has the following account balances: Cash $50,000; Other Assets $600,000; Liabilities $240,000; Nixon, Capital (50 percent of profits and losses) $200,000; Hoover, Capital (20 percent) $120,000; and Polk, Capital (30 percent) $90,000. Each of the following questions should be viewed as an independent situation:a. Grant invests $80,000 in the partnership for an 18 percent capital interest. Goodwill is to be recognized. What are the capital accounts thereafter?b. Grant invests $100,000 in the partnership to get a 20 percent capital balance. Goodwill is not to be recorded. What are the capital accounts thereafter?
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The following condensed balance sheet is for the partnership of Miller, Tyson, and Watson, who share profits and losses in the ratio of 6:2:2, respectively: Cash $ 50,000 Liabilities $ 42,000 Other assets 150,000 Miller, capital 69,000 Tyson, capital 69,000 Watson, capital 20,000 Total assets $ 200,000 Total liabilities and capital $ 200,000 b. For how much money must the other assets be sold so that each partner receives some amount of cash in a liquidation?
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Mark Santos, Maria Reyes and Marla Delacruz form a partnership with Reyes contributing cash of 75,000 for a 1/5 interest in the partnership. Santos and Delacruz will share equally in the remaining required capitalization. 1. How much is the total capitalization of the partnership upon formation? A. 300,000 B. 350,000 C. 375,000 D. 400,000 3. How much are the shares of Santos and Delacruz on the remaining capitalization of the partnership? A. 75k each respectively B. 80k each respectively C. 150k each respectively D. 200k each respectively For each question, please provide Solution and explanation. Thanks tutor.
Please answer question completely. This is one question with two parts so answer question fully ( part a and b)
Dengar
The following condensed balance sheet is for the partnership of Miller, Tyson, and Watson, who share profits and losses in the ratio of 6:2:2, respectively: Cash $ 50,000 Liabilities $ 42,000 Other assets 150,000 Miller, capital 69,000 Tyson, capital 69,000 Watson, capital 20,000 Total assets $ 200,000 Total liabilities and capital $ 200,000 a. Assuming no liquidation expenses, calculate the safe payments that can be made to partners at this point in time.
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