Disassociation of a partner: When a partner withdraws or retires from a partnership , that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment. The journal entry to record K’s withdrawal when K is paid $38,000 and no goodwill is recorded.

Question

Want to see the full answer?

Answer 1

Question

Chapter 15, Problem 15.9E

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $38,000 and no goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $42,000 and only his share of goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

the journal entry to record K’s withdrawal when K is paid $35,000 and all implied goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

To explain:The computation of buyout price summarizing the guidelines in UPA 1997.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Get correct solution this general accounting question

What is the contribution margin ratio of this financial accounting question?

A firm has net working capital of $980, net fixed assets of $4,418, sales of $9,250, and current liabilities of $1,340. How many dollars worth of sales are generated from every $1 in total assets? Need Answer general Accounting

Answer 2

Question

Chapter 15, Problem 15.9E

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $38,000 and no goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $42,000 and only his share of goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

the journal entry to record K’s withdrawal when K is paid $35,000 and all implied goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

To explain:The computation of buyout price summarizing the guidelines in UPA 1997.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 15, Problem 15.9E

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $38,000 and no goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $42,000 and only his share of goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

the journal entry to record K’s withdrawal when K is paid $35,000 and all implied goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

To explain:The computation of buyout price summarizing the guidelines in UPA 1997.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 15, Problem 15.9E

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $38,000 and no goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $42,000 and only his share of goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

the journal entry to record K’s withdrawal when K is paid $35,000 and all implied goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

To explain:The computation of buyout price summarizing the guidelines in UPA 1997.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 15, Problem 15.9E

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $38,000 and no goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $42,000 and only his share of goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

the journal entry to record K’s withdrawal when K is paid $35,000 and all implied goodwill is recorded.

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

To explain:The computation of buyout price summarizing the guidelines in UPA 1997.

Answer 6

Chapter 15, Problem 15.9E

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $38,000 and no goodwill is recorded.

Answer 7

Chapter 15, Problem 15.9E

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $38,000 and no goodwill is recorded.

Answer 8

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $42,000 and only his share of goodwill is recorded.

Answer 9

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

The journal entry to record K’s withdrawal when K is paid $42,000 and only his share of goodwill is recorded.

Answer 10

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

the journal entry to record K’s withdrawal when K is paid $35,000 and all implied goodwill is recorded.

Answer 11

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

the journal entry to record K’s withdrawal when K is paid $35,000 and all implied goodwill is recorded.

Answer 12

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

To explain:The computation of buyout price summarizing the guidelines in UPA 1997.

Answer 13

To determine

Disassociation of a partner:When a partner withdraws or retires from a partnership, that partner is disassociated from the partnership. In most cases, the partnership purchases the disassociated partner’s interest in the partnership for a buyout price. Section 701 of UPA 1997 states that the buyout price is the estimated amount if, the partnership assets were sold at a price equal to the higher of the liquidation value or the value based on a sale of entire business as a going concern without the disassociated partner and the partnership was wound up and all partnership obligations settled. The partnership must pay interest to the disassociated partner from the date of disassociation to date of payment.

To explain:The computation of buyout price summarizing the guidelines in UPA 1997.

Answer 14

Expert Solution & Answer

Answer 15

Expert Solution & Answer

Answer 16

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 17

Ch. 15 - Prob. 15.1Q Ch. 15 - Prob. 15.2Q Ch. 15 - Prob. 15.3Q Ch. 15 - Prob. 15.4Q Ch. 15 - Under what circumstances would a partner’s capital...Ch. 15 - Prob. 15.6Q Ch. 15 - Prob. 15.7Q Ch. 15 - Prob. 15.8Q Ch. 15 - Prob. 15.9Q Ch. 15 - Prob. 15.10Q

Solution Summary: The author explains that when a partner withdraws or retires, that partner is disassociated from the partnership.

Want to see the full answer?

Chapter 15 Solutions