The partnership agreement of the G&P general partnership states that Gary will receive a guaranteed payment of $14,100.and that Gary and Prudence will share the remaining profits or losses in a 45/55 ratio. For year 1, the G&P partnershipreports the following results:Sales revenueGain on sale of land ($1231)Cost of goods soldDepreciation-MACRSEmployee wagesCash charitable contributionsMunicipal bond interestOther expensesNote: Negative amounts should be indicated by a minus sign.Required:a-1. How much ordinary income (loss) is allocated to Gary for the year?$91,5007,500(53,500)(15,600)(11,100)(5,300)5,450(5,100)a-2. Compute Gary's share of separately stated items to be reported on his year 1 Schedule K-1, including his self-employment income(loss).How much ordinary income (loss) is allocated to Gary for the year?Note: Round your intermediate computations to the nearest whole dollar amount.Ordinary income (loss)DescriptionRequired AtSeparately Stated Items Schedule K-1:Compute Gary's share of separately stated items to be reported on his year 1 Schedule K-1, including his self-employmentincome (loss).Note: Round your intermediate computations and final answers to the nearest whole dollar amount.Required A2 >TotalAmountAllocatedto Gary

Ordinary income is money obtained via labour. This includes hourly earnings, salaries, gratuities,…

The partnership agreement of the G&P general partnership states that Gary will receive a guaranteed payment of $14,100, and that Gary and Prudence will share the remaining profits or losses in a 45/55 ratio. For year 1, the G&P partnership reports the following results: Sales revenue Gain on sale of land ($1231) Cost of goods sold Depreciation-PCRS $ 91,500 7,500 (53,500) (15,600) (11,100) Employee wages Cash charitable contributions Municipal bond interest Other expenses (5,100) Note: Negative amounts should be indicated by a minus sign. equired: 1. How much ordinary income (loss) is allocated to Gary for the year? 2. Compute Gary's share of separately stated items to be reported on his year 1 Schedule K-1, including his self-employment income wss). How much ordinary income (loss) is allocated to Gary for the year? Wote: Round your intermediate computations to the nearest whole dollar amount. Ordinary income (loss)

The partnership agreement of the G&P general partnership states that Gary will receive a guaranteed payment of $14,100, and that Gary and Prudence will share the remaining profits or losses in a 45/55 ratio. For year 1, the G&P partnership reports the following results: Sales revenue Gain on sale of land ($1231) Cost of goods sold Depreciation-PCRS $ 91,500 7,500 (53,500) (15,600) (11,100) Employee wages Cash charitable contributions Municipal bond interest Other expenses (5,100) Note: Negative amounts should be indicated by a minus sign. equired: 1. How much ordinary income (loss) is allocated to Gary for the year? 2. Compute Gary's share of separately stated items to be reported on his year 1 Schedule K-1, including his self-employment income wss). How much ordinary income (loss) is allocated to Gary for the year? Wote: Round your intermediate computations to the nearest whole dollar amount. Ordinary income (loss)

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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