In a partnership business, Jack has an ownership of 60% and Teresa has an ownership of 40%. For growing the business, Jack contributed $7,000 and Teresa contributed $3,000 on July 1. Which of the following is true of this scenario? A Only the total contribution of $10,000 will be recorded B Individual contribution of $7,000 by Jack and $3,000 by Teresa will be recorded C Either the total contribution of $10,000 or the contribution in the ownership ratio will be recorded D 60% of Jack's contribution and 40% of Teresa's contribution will be recorded
In a partnership business, Jack has an ownership of 60% and Teresa has an ownership of 40%. For growing the business, Jack contributed $7,000 and Teresa contributed $3,000 on July 1. Which of the following is true of this scenario? A Only the total contribution of $10,000 will be recorded B Individual contribution of $7,000 by Jack and $3,000 by Teresa will be recorded C Either the total contribution of $10,000 or the contribution in the ownership ratio will be recorded D 60% of Jack's contribution and 40% of Teresa's contribution will be recorded
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter18: Comparative Forms Of Doing Business
Section: Chapter Questions
Problem 2CE
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In a
| A | Only the total contribution of $10,000 will be recorded |
| B | Individual contribution of $7,000 by Jack and $3,000 by Teresa will be recorded |
| C | Either the total contribution of $10,000 or the contribution in the ownership ratio will be recorded |
| D | 60% of Jack's contribution and 40% of Teresa's contribution will be recorded |
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