Even though abel donated P100,000 and Carr supplied P84,000 in recognised assets, Johney and Carr established a partnership and decided to distribute initial funds evenly. Carr's unidentified assets should be deducted using the bonus method approach to capital account adjustment. 46,000 16,000 8,000
Q: At December 31, 2022 Gordon Inc's actual income tax for the year is $ 15,000. During the year Gordon…
A: Answer : Debit to Income Tax Expense and credit to Income Tax Payable
Q: Kingdom Corporation has the following. Preferred stock, $10 par value, 9%, 50,000 shares issued In…
A: Preferred Dividend: It is a dividend that is payable on a company's preferred shares and it has…
Q: After-tax Income (Tax Deduction) After-tax Income (Tax Credit)
A: A single taxpayer is a person who is unmarried and filling his income tax. the pre-tax income means…
Q: Bramble Company manufactures a product with a unit variable cost of $41 and a unit sales price of…
A: Note: In the special order question, firstly the relevant cost for the special order is calculated.…
Q: A manufacturer sells his final product for R300 plus VAT (@15%) to a wholesaler. The wholesaler…
A: The final burden of VAT is on the consumer of the product. The registered taxpayer will get the…
Q: A savings account at your local credit union holds a balance of $5,894 for the entire month of…
A: Simple interest is the amount of interest received on a deposit based on a flat rate. Formula:…
Q: ABC Corp acquired 30,000 shares of XYZ Co. The shares were actively traded in the three markets. The…
A: As per IFRS 13, In the case of more than one principal market for a particular item, the most…
Q: Harwood Company uses a job-order costing system that applies overhead cost to jobs on the basis of…
A: Manufacturing overheads are the costs incurred on the production of the goods. It includes indirect…
Q: For each of the following items, write first the journal entry and then, the adjusting entry if any,…
A: Theory introduction: All the business transactions are shown in Journal books. Journals also called…
Q: QUESTION TWO The trial balance as at 30 April 2016 of Timber Products Limited was balanced by the…
A: A suspense account represents the difference in the total debit and credit sides of a trial balance.…
Q: Income Statement Information (2021): 1. Net income for the year ending December 31, 2021 is $43,500.…
A: Cash flow from operating activities The cash flow statement represents the statement of inflow and…
Q: Udala Uke's had the following transactions involving notes payable: July 1, 2021 Borrows $50,000…
A: The adjusting entry at the reporting date about the note payable is the journal entry to record the…
Q: 49. The taxable income is a. P9,200,000 c. P8,200,000 b. P7,500,000 d. P7,430,000
A: Calculation of Taxable Income: Gross Income, Philippines = P10,000,000 Less: Allowable Itemized…
Q: Payable is a batch level activities Static Budget 1000000 S $2,90 $100000 Activities Number of…
A: Production volume variance is a metric utilized by organisations to compare the cost of…
Q: Quick Computing installed its previous generation of computer chip manufacturing equipment 3 years…
A: The after-tax cash flow from the sale of an asset is determined by deducting the tax on the gain on…
Q: Kingdom Corporation has the following: Preferred stock, $10 par value, 9%, 50,000 shares issued…
A: Lets understand the basics. There are two type of shareholders are there which are, (1) Equity share…
Q: Conspicuous Limo uses activity-based costing for its two models of stretch Hummer limousines: Big…
A: Lets understand the basics. Activity rate is a rate calculate to allocate overhead cost to the…
Q: On June 30, 2015, the balance sheet of Western Marketing, a partnership, is summarized as follows:…
A: The book value method is the method of accounting for the investment by the new partner at the time…
Q: What are the partnership's earnings for 2015?
A: Marco's earnings = ending capital - beginning capital+ withdraw - additions =…
Q: Question 8 One of the characteristics of a general partnership is voluntary association. O True O…
A: The answer for the true or false question and relevant explanation are presented hereunder :…
Q: Micellar Company had the following available information as of December 31, 2021: Preferred Share…
A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Kenneth Company was organized on January 1, 2015 at which date it issued 100,000 common stock of P10…
A: Introduction: Shareholders' equity which is also known as net worth of the company, is the owners…
Q: The following details are obtained from the books of Hendry Itd. As on 30th June 2002 Share capital…
A: 1) Net Asset method :- Calculation of net assets Market value of assets Fixed assets…
Q: Amazing Company provides a warranty with all its products it sells. It estimates that it will sell…
A: Warranty is a form of assurance being given by the seller to the buyer that in case product will…
Q: All. Basel and Ziad are sharing income and loss in a 4:3:2 ratio respectively and decided to…
A: Since Ali is not able to pay the amount he owes to the partnership , his share of deficient amount…
Q: The Home Depot is clearing out lawn mowers for $399.75 in an end-of-season sale that ends on…
A: In the context of the given questions, we are required to provide the solution, the best option to…
Q: Dillon Products manufactures various machined parts to customer specifications. The company uses a…
A: The cost of finished goods include the cost of goods that are completed and transferred and ready…
Q: following data were available for Product Z at Mar 31, 20X1: Beg inventory 50 units @ 12…
A: The inventory can be valued using various methods as LIFO, FIFO and weighted average method. Using…
Q: Journal entry worksheet < 1 17 Record the entry to transfer from WIP to Finished goods. Note: Enter…
A: Producers' finished goods are such total. There's no need for retailers to categorise or segment…
Q: Which of the following statement is CORRECT regarding Job order cost accounting system? O Under the…
A: In the context of the given question, we are required to find the correct option from the available…
Q: James, Gian, and Jane formed a partnership on January 1, 2015, with investments of P100,000,…
A: Lets understand the basics. Partnership is an agreement between two or more person who works…
Q: Tasks 8-9. Application. Prepare the journal entries of the transaction below and post them to the…
A: 3/10, n 30 means that if the payment is made within 10 days of the sale, a 3% discount will be given…
Q: Capital Prepaid insurance 5600 Salary expense 1000 Service Revenue Commission revenue Machinery…
A: The income statement is one of the financial statements of the business which tells about the…
Q: A, B and C as partners in a partnership stipulated and mutually agreed that A shall not share in the…
A: There are several forms of business organisation that is used by the business. These are sole…
Q: When using the Spreadsheet (work sheet) method to analyze noncash accounts, it is best to start with…
A: Non Cash Items - Non Cash Items are those items that are incurred without considering cash into it.…
Q: The amount of realizable income for Meredith and Derek in 2020 is $_____. The amount included in…
A:
Q: Illustration. The balance sheet of Mateo Roa on Oct. 1, 2021, before accepting Martin Penaco as his…
A: To record the investment by the partners in the partnership firm, the assets contributed by the…
Q: PT ABC has two production departments, namely departments A and B to produce its products. The…
A: The total cost of producing a product, including raw materials and operating costs, is detailed in a…
Q: Division A and Division B are divisions within the same company. The managers of both divisions are…
A: The price at which connected entities transact with one another, such as during the trade of goods…
Q: Week 5: Corporations • Due by the end of Week 5 at 11:59 pm, ET. It's the end of the month, and the…
A:
Q: A Base and Zad are sharing income and loss in a 4:3:2 ratio respectively and decided to liquidate…
A: Since Ali is not able to pay the amount he owes to the partnership , his share of deficiency will…
Q: Question: 1. Calculate the gross income for someone who works 38 h at $12.50/h You don't need to to…
A: Gross Pay = Total Hours Worked×Gross Hourly Rate
Q: Buraot received from a customer a twelve month, P1,500,000 note bearing annual interest of 8%. After…
A: Lets understand the basics. When notes gets discounted by the customer then bank discount the note…
Q: Find the production cost for 3 years, considering the given data: a. Material Cost - 21,000.00 b.…
A: Production cost: Production cost means total manufacturing costs; including all direct materials,…
Q: related to cash? What are the most important assertions related to cash? How will auditors test…
A: Answer Audit of Cash Assertion to be examined 1. Existence :- To establish the existence of cash…
Q: 46.The following data were available for Product Z at Mar 31, 20X1: Beg inventory 50 units @ 12…
A: Inventory is valued on the basis of different inventory valuation methods such as LIFO, FIFO, or…
Q: Which of the following statement is CORRECT about the foundational assumption used in CVP analysis.…
A: CVP analysis means the cost-volume profit analysis. This analysis in cost management is done to have…
Q: What do you think are the requirements for launching a terrific quality team? Identify an issue…
A: Quality Healthcare quality must be improved. It should have organized and consistent activities…
Q: Arabian Gulf Corporation reports the following stockholders' equity section on December 31, 2020. -…
A: It refers to a modern accounting method which is used to record business transaction in a debit…
Q: Illustration. The balance sheet of Mateo Roa on Oct. 1, 2021, before accepting Martin Penaco as his…
A:
Even though abel donated P100,000 and Carr supplied P84,000 in recognised assets, Johney and Carr established a partnership and decided to distribute initial funds evenly. Carr's unidentified assets should be deducted using the bonus method approach to capital account adjustment.
46,000
16,000
8,000
0
Step by step
Solved in 3 steps
- okuto and Kuroo formed a partnership and agreed to divide initial capital equally, even though Bokuto contributed P100,000 and Kuroo gave P86,000 in identifiable assets. Under the bonus approach to adjust capital accounts, Kuroo’s capital account should be credited for * a. 86,000 b. 100,000 c. 84,000 d. 93,000A and B are partners with the following contributions: Partner A, P300,000 and Partner B, P200,000. They share in the profit and loss of 40% and 60% respectively. Partner B's capital account had a net decrease of P120,000 during the year 2021. During 2021, B withdrew P350,000 (charged against his capital account) and with additional investment in the form of equipment with a book value of P 90,000 and a fair value of P80,000. Determine the profit/loss of the AB Partnership for the year 2021.Mighty Darrel and Super Zigg formed a partnership and agreed to have an equal interest in thepartnership’s assets. They agreed to make the following contributions : Darrel contributed 100,000and Zigg contributed 84,000 in identifiable assets. Under the bonus approach, what is the amount ofbonus from Darrel to Zigg capital? A. 46,000B. 16,000C. 8,000D. 0
- On January 1 , FRED and GEMMO formed a partnership by contributing cash of P300,000 and P360,000 , respectively . On August 1, Fred contributed an additional cash of P45,000 . On June 1, Gemmo contributed machinery with a fair market value of P60,000 and a net book value of P90,000 when contributed . On July 1, Fred and Gemmo each withdrew 30,000 . 1. What is the ending capital of Fred ? 2. What is the ending capital of Gemmo ?A and B formed a partnership and agreed to divide initial capital equally even if A contributed P100,000 and B contributed P84,000 in identifiable assets. Under the bonus approach to adjust the capital accounts, what amount should be debited to B's unidentifiable assets?Sabio, as her original investment in the firm of Sabio and Mariano, contributed equipment that had been recorded in the books of her own business as costing P900,000, with accumulated depreciation of P620,000. The partners agreed on a valuation of P400,000. They also agreed to accept Sabio's accounts receivable of P360,000, realizable to the extent of 85%.
- James joined a partnership by contributing the following: cash, P20,000;accounts receivable, P4,000; land, P240,000 fair value; and accounts payable, P16,000. What will be the initial amount recorded in James’ capital account? Give the entry to record the investment of JamesA, B, and C are partners who each donated P6,000.00, P4,000, and P4,000, respectively, and C-industry. They agreed on the following distribution of earnings and losses: A-35 percent, B-25 percent, and C-40 percent. What will happen to the P10,000 that was lost? a. P6,000; B: P4,000; C: None c. A: 3,500 pesos; B: 2,500 pesos; C: 4,000 pesos c. A- P3,333; B- P3,333; C- P3,333 c. A- 5,000 pesos; B-2,500 pesos; C-none.Nabiha, Abdullah, and Samina are partners with capital account balancesof 50,000, 75,000, and 25,000, respectively. Income and losses aredivided in a 4:4:2 ratio. When Samina decided to withdraw, thepartnership revalued its assets from 225,000 to 250,000, whichrepresented an increase in the value of inventory of 5,000 and an increasein the value of land of 20,000. Samina was then given 15,000 cash and anote for 40,000 for his withdrawal from the partnership.Required:A. Prepare the journal entry to record the revaluation of the partnership’sassets.B. Prepare the journal entry to record the withdrawal using the followingindependent methods.(1) Bonus.(2) Partial goodwill.(3) Full goodwill amount.
- Kaede, Itona, and Ritsu are partners with capital balances of P80,000, P200,000, and P120,000, respectively. Profits and losses are shared in a 3:2:1 ratio. Itona decided to withdraw and the partnership revalued its assets. The value of inventory was decreased by P20,000 and the value of land was increased by P50,000. Kaede and Ritsu then agreed to pay Itona P230,000 for his withdrawal from the partnership. Prepare the journal entry to record Itona’s withdrawal under the Bonus method, assuming the revaluation increase or decrease was agreed by all partners to be recognized. Asset revaluation method.On January 1, FRED and GEMMO formed a partnership by contributing cash of P300,000 and P360,000 , respectively . On August 1, Fred contributed an additional cash of P45,000 . On June 1 , Gemmo contributed machinery with a fair market value of P60,000 and a net book value of P90,000 when contributed . On July 1, Fred and Gemmo each withdrew 30,000 . 1. What is the average capital of Fred ? 2. What is the average capital of Gemmo?Norjannah, as her original investment in the firm of Norjannah and Nasbiya, contributed equipment that had been recorded in the books of her own business as costing P850, 000, with accumulated depreciation of P620, 000. The partner agreed on the valuation of P400, 000. They also agreed to accept Norjannah’s accounts receivable of P300, 000, realizable to the extent of 75%. Prepare the journal entry to record Norjannah’s investment in the partnership.