. Owner Juana invested P100,000 to start her laundry business. During the first year of operations (2018), the company had a net income of P15,000. Juana invested additional P100,000 to grow the business. In 2019, the business earned P50,000. As of December 31, 2020, Juana’s capital balance is P200,000. How much is Juana’s withdrawal?

Q: On January 2, 2020, Cobra Kai sets up a firm and brings in office equipment of P50,000 and…

A: Firm capital on January 31, 2020 = Office equipment by Owner + Merchandise inventory by Owner + Cash…

Q: How much isJuana’s withdrawal?

A: Solution:-Calculation of Juana's withdrawals Sl.no Particulars Amount 1 Juana's invested…

Q: Faith D. Nakpil started her accounting practice on November 3, 2021 by investing P138,000 cash and…

A: The initial capital if Faith  will be fair value of assets & cash invested by her.

Q: 1. Nita and Bona entrepreneurs, agreed to invest cash to put up a business selling signature bags.…

A: Hey there! Since you have posted multiple questions, as per the policy and guidelines we can only…

Q: On July 1, 2017, Brent purchases a new automobile for $49,000. He uses the car 88% for business and…

A: As per our protocol we provide solution to the one question only or the first three sub-parts only…

Q: On 1 August 2020, Jojo decided to start a sole proprietorship business with i point the following…

A: Capital is the amount contributed by the owner for the business needs. It is also called as owner's…

Q: During the year 2020, Mr. Ahmed purchased goods for $ 500, 000 and sold 3/5th of the goods for $…

A: Net profit calculated by Mr. Ahmed is as per Matching concept.    Matching concept: As per matching…

Q: Mr. Ramirez has started operating as a service business in 2019. His company, EN- Company, is…

A: Solution: The above transactions of a service company owned by Mr. Ramirez are being journalized and…

Q: Rob Wriggle operates a small plumbing supplies business as a sole proprietor. In 2019, the plumbing…

A: A.  What is Rob and Marie's taxable income before the QBI deduction?   Particulars  Amount ($)…

Q: On December 1, 2018, Mario started his business with a borrowed capital amounting to P 40,000 at a…

A: Return on capital refers to the return earned by a business entity on the capital employed by them.…

Q: Owner Juana invested P100,000 to start her laundry business. During the first year of operations…

A: Formula: Ending capital = Beginning capital + Net income - Withdrawal. Deduction of Withdrawals from…

Q: On July 1, 2016, Rex purchases a new automobile for $43,000. He uses the car 84% for business and…

A: Solution: Since Part A seems to be incomplete because the rate per mile is not given and should be…

Q: 1. Owner Pedro invested an initial capital of amounting P50,000 in order to put up his janitorial…

A: Note:We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: Laila Ramos decided to open abicycle and car rental business on October 1, 2021 to augment the…

A: Laila Ramos Trial Balance As on October 31, 2021 Account  Debit   Credit  Cash  2,23,000…

Q: Let  us  assume  that  Mr. Amir starts  a  business  called  Amir Enterprises  on  1st  January,…

A: Accounting equation is; Assets = Liabilities + Capital

Q: Ms. QWE began a business on April 1, 2021, contributing to the business the following assets: Cash,…

A: Answer A) Total value of Assets contributed by Ms. QWE to the business is computed as:

Q: For the current year,  santos has wages of $80,000 and the following property transactions: Stock…

A: AGI means adjusted gross income of the individual on which taxes needs to be paid. These taxes are a…

Q: Owner, Juan invested an initial capital amounting P50,000 in order to put up his janitorial services…

A: Solution Given initial capital  50000  revenue During the first year of operations…

Q: Owner Pedro invested an initial capital of amounting P50,000 in order to put up his janitorial…

A: Capital means the amount invested by the owner in its business. Net income increases capital…

Q: During 2020, Sandeep had the following transactions: Salary $120,000 Interest income on City of San…

A: A tax is a necessary contribution or financial charge that is charged by the government on the…

Q: Prepare a statement of owner’s equity.

A: Computation of statement of equity is shown below :

Q: Faith D. Nakpil started her accounting practice on November 3, 2021 by investing P145,000 cash and…

A: Initial Capital = Cash Contribution + Fair Value of Non monetary asset

Q: Nathan owns the Kavanan Bakeshop that has the following post-closing trial balance on December 31…

A: Revaluation refers to reassessing and remeasuring the value of the assets and liability based on the…

Q: On July 1, 2017, Brent purchases a new automobile for $37,000. He uses the car 92% for business and…

A: a). Calculation of basis adjustment for depreciation of each year.  Year Miles   Rate per miles…

Q: Owner juana invested 100,000 to start her laundry business.During the first year of operation the…

A: Capital invested in the business amount of cash and other assets that are invested in business by…

Q: QI Let us assume that Mr. Amir starts a business called Amir Enterprises on 1st January, 2021 and…

A: The accounting equation states that assets equal to sum of liabilities and equity.

Q: COMPUTE AND PREPARE: 1. Owner, Pedro invested an initial capital amounting Php 50,000 in order to…

A: The ending capital is calculated as sum of beginning capital, investment and net profit and further…

Q: 1. Nita and Bona entrepreneurs, agreed to invest cash to put up a business selling signature bags.…

A: A partnership seems to be a structure of two or more individuals who engage to conduct a legitimate…

Q: Compute for the ending capital balance of Juan for the year 2017.

A: Meaning of Capital Capital is the money contributed by the owner is his business. Capital may be in…

Q: 1. Nita and Bona entrepreneurs, agreed to invest cash to put up a business selling signature bags.…

A: This s a partnership accounting question. What is meant by Partnership? The partnership is a term…

Q: During the 2019-2020 financial year, Tim James received a cash payment of $500,000 and goods worth…

A: Any amount of income earned by an assessee will be taxable under any one of the 5 heads of income…

Q: Owner, Juan invested an initial capital amounting P50,000 in order to put up his janitorial services…

A: Capital means the amount invested by the businessmen in the business. Any profit will increase the…

Q: 4. Owner, Marco invested an initial capital amounting P70,000 in order to put up his Computer…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: Last January 1, 2020, Mrs. Dimalanta started a laundry shop business by contributing cash of…

A: Total assets = Total liabilities + Equity P3,000,000 = P500,000 + Equity Equity = P3,000,000 -…

Q: Owner, Juan invested an initial capital amounting P50,000 in order to put up his janitorial services…

A: Formula: Ending capital balance = Beginning capital + Net profit - Drawings

Q: Rob Wriggle operates a small plumbing supplies business as a sole proprietor. In 2019, the plumbing…

A: Dear student, as per Bartleby answering guidelines we can not answer more than three sub-parts if a…

Q: Is this treatment appropriate?

A: Given information is: In February 2020, Ola Gott invested an additional $12000 in her business,…

Q: Rob Wriggle operates a small plumbing supplies business as a sole proprietor. In 2019, the plumbing…

A: Given Information:   Marie wage income: $250,000 Gross business income: $421,000 Business expenses:…

Q: of the calendar year, what amount would her assets be sitting at?   a.R690 000 b.R710 000 c.R700…

A: Basic Accounting Equation is given as under:     Assets  = Equity  + Liabilities    Meaning, Total…

Q: Owner Juana invested P100,000 to start her laundry business. During the first year of operations…

A: Investment is the allocation of the money so as to earn benefit over the money invested.

Q: Expenses incurred for the month

A: Expense means the costs incurred for running the daily operations of business.

Q: On January 1 of the current year, Stuart borrows $150,000, pledging the assets of his business as…

A: Interest expense has been classified into different categories for tax purpose: Active Trade…

Q: I'm 2015, mary invested 200,000 in a business that is not a passive activity. During 2016, her share…

A: The question is based on the concept of Business Transaction Analysis.

Q: On 1 January 2020, Mala started her business with cash of RM105,000 and a motor van worth RM90,000.…

A: Total Assets of her business    =   motor van + cash + bank loan to be                added  as it…

Q: Rob Wriggle operates a small plumbing supplies business as a sole proprietor. In 2019, the plumbing…

A: Hello. Since your question has multiple parts, we will solve first question for you. If you want…

Q: The initial investment of the owner in his business is P75,000. at the end of each year, the total…

A: To calculate the owner's equity, the amount of outside liability is subtracted from the total…

Q: Owner Juana invested ₱100,000 to start her laundry business. During the first year of operations…

A: Drawings: It can be defined as the withdrawal of assets or money from the business by the owner.

Q: A partial list of transactions from `r@ktas` Co. during 2020 follows. January 1- Tom and John each…

A: Journal Entry The basic process of accounting work is to journalize the required transaction into…

Q: 1. Nita and Bona entrepreneurs, agreed to invest cash to put up a business selling signature bags.…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: 1. On December 1, 2018, Grey started his business with a borrowed capital amounting to P 40,000 at a…

A: As per the norms of Bratleby, in case of multiple independent questions been asked, solution to only…

Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.