Reference no: EM13144350
On March 1, 2011, Abbey and Dames formed a partnership. Abbey contributed $88,000 cash and Dames contributed land valued at $70,000 AND a building valued at $100,000. The partnership also assumed responsibility for Dames $80,000 long-term note payable associated with the land and building. The partners agree to share income as follows:
Abbey is to receive an annual interest allowance of 10% of their beginning-year capital investment, and any REMAINING income or loss is to be shared equally.
On October 20, 2011, Abbey withdrew $32,000 cash and Dames withdrew $25,000 cash. After adjusting and closing entries are made to the revenue and expense accounts at December 31st, 2011, the Income Summary Account had a credit balance of $79,000.
Prepare Journal Entries to record
The partners capital investments
Their cash withdrawals
The December 31 closing of both the Withdrawals and Income Summary accounts.
Determine the balances of the partners CAPITAL accounts as of December 31, 2011
|
Discuss reasons a consulting firm might use a normal cost
: Discuss the reasons a consulting firm might use a normal costing system rather than an actual costing system. What might be some reasons for the firm to change from a one-pool to a multiple-pool allocation concept?
|
|
Write a balanced equation for the reaction that occurs
: Write a balanced equation for the reaction that occurs in each of the following cases: (a) Cesium is added to water. (b) Strontium is added to water.
|
|
Determine balances of the partners capital accounts
: Abbey is to receive an annual interest allowance of 10% of their beginning-year capital investment, and any REMAINING income or loss is to be shared equally. Determine balances of the partners CAPITAL accounts as of December 31, 2011
|
|
Define the substance ammonium nitrite
: Under certain conditions, the substance ammonium nitrite can be broken down to form nitrogen and water. If 32.4 grams of ammonium nitrite react to form 14.2 grams of nitrogen
|
|
Determine balances of the partners capital accounts
: Abbey is to receive an annual interest allowance of 10% of their beginning-year capital investment, and any REMAINING income or loss is to be shared equally. Determine balances of the partners CAPITAL accounts as of December 31, 2011
|
|
Compute the composition of the vapor
: A solution is prepared by mixing 0.0300 mol CH2Cl2 and 0.0500 mol of CH2Br2 at 25°C. Assuming the solution is ideal, calculate the composition of the vapor
|
|
Just been asked
: You have just been asked to teach the concept of adaptation to a psychology class. You decide to conduct the following experiments to teach the concept of adaptation.
|
|
Ow competent is evidence provided by analytical procedures
: What is the quality of the evidence that is gathered substantive testing procedure? How competent is evidence provided by analytical procedures compared with other types of evidence?
|
|
What is the maximum price sal would be willing to pay
: If Sal purchases the component from the supplier instead of manufacturing it, the effect on income would be? What is the maximum price Sal would be willing to pay the outside supplier?
|