Franco and Elisa share income equally. During the current year the partnership net income was $40,000 Franco made withdrawals of $12,000 and Elisa made withdrawals of $17,000. at the beginning of the year the capital account balance were: Franco capital $42,000 Elisa capital, $58,000 Elisa capital account balance at the end of the year is

Question
Asked Oct 21, 2019
1 views

Franco and Elisa share income equally. During the current year the partnership net income was $40,000 Franco made withdrawals of $12,000 and Elisa made withdrawals of $17,000. at the beginning of the year the capital account balance were: Franco capital $42,000 Elisa capital, $58,000 Elisa capital account balance at the end of the year is

check_circle

Expert Answer

Step 1

A partner’s capital account reflects the changes occurred in capital balances of the partners due to drawing, Profit sharing, Salary etc.

Step 2

Computation of Closing ...

Computation of Closing Balance
Particulars
Elisa
Franco
Opening Balances
Add: Profits Equally
Less: Drawings
42000
58000
20000
20000
-12000
-17000
Closing Bal
50000
61000
help_outline

Image Transcriptionclose

Computation of Closing Balance Particulars Elisa Franco Opening Balances Add: Profits Equally Less: Drawings 42000 58000 20000 20000 -12000 -17000 Closing Bal 50000 61000

fullscreen

Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Business

Accounting

Final Accounts for Partnership

Related Accounting Q&A

Find answers to questions asked by student like you

Show more Q&A add
question_answer

Q: Hemingway Company purchases equipment by issuing a 7-year, $210,000 non-interest-bearing note, when ...

A: Companies acquire assets either through cash or non-cash means. In the case of non-cash means, asset...

question_answer

Q: Weisman, Inc. uses activity-based costing as the basis for information to set prices for its six lin...

A: ABC (Activity based costing) framework was created to manage the drawbacks of customary costing fram...

question_answer

Q: E-Flix rents DVDS that are mailed out to customers upon demand. E-Flix has identified three activiti...

A: Calculate activity rate per base: 

question_answer

Q: On November 1, 2021, the account balances of Hamm Equipment Repair were as follows:     Debit   ...

A: T-account:The condensed form of a ledger is referred to as T-account. The left-hand side of this acc...

question_answer

Q: Accounting Question

A: Adjusting entry:Adjusting entry is a entry that are prepared to identify income and expenses that ar...

question_answer

Q: can goodwill be amoritized?

A: Goodwill: Goodwill is an intangible asset to the company. However, goodwill is recorded in the books...

question_answer

Q: Wadsworth Industries manufactures small appliances and uses an activity based costing system. Inform...

A: Click to see the answer

question_answer

Q: Can you please help with journal entries on question 5. Thank you!

A: When a company buy back its own shares, it is known as treasury stock. It is dependent upon the admi...

question_answer

Q: Pelicans Ice is a snow cone stand near the local park. To plan for the future, it wants to determine...

A: Cost incurred to produce and sell a product consist of 2 components, variable cost, and fixed cost.V...