User Account

All Pages

Find and calculate the allocation of profit

Assignment Help Accounting Basics
Reference no: EM132615463

Zilky and Justin formed a partnership on December 31, 2013. Zilky contributed $50,000 cash and accounts receivable with a fair market value of $10,000. Justin's investment consisted of: cash, $5,000; inventory, $34,000; and supplies, $1,000-all at fair market values. profitfor 2014 and 2015 was $50,000 and $65,000, respectively.

Problem 1: Calculate the allocation of profit for 2014 and 2015, assuming profits are divided as follows:

(A) The partners have no agreement.

(B) Based on a 1:3 ratio.

(C) Based on the ratio of the partners' original investments.

(D) Interest allowances of 10% on their original investments, salary allowances to Zilky of $14,000 and Justin of $11,000, and the remainder to be divided equally.

Reference no: EM132615463

Questions Cloud

Which is a group or team-based incentive plan : Which is a group or team-based incentive plan? discretionary bonus plans./ production incentive plans./ spot awards./ commissions
Organizational communication : As a consultant overhearing this conversation, how do you suggest the managing director respond to Charley's challenge?
What are the units the slope of pressure vs depth graph : What are the units of the slope of a pressure vs density graph?
Make adjusting entry to update Merchandise Inventory : On July 31, Merchandise Inventory had a balance of $53,000. Make the necessary adjusting entry to update Merchandise Inventory
Find and calculate the allocation of profit : Find and Calculate the allocation of profit for 2014 and 2015, assuming profits are divided as ased on the ratio of the partners' original investments
Calculate a at p in the cartesian : A point P (-2, 6, 3) and Vector A = yaxy +(x+z) aare given. Express them in cylindrical and spherical coordinates.
Compute the net income under absorption costing : Given Advanced Company's data, and the knowledge that the product is sold for $80 per unit. Compute the net income under absorption costing
Two forms of displacement : Describe a situation in which two forms of displacement might be occurring in different directions, such that the final
What time management techniques : What time management techniques can you use to accomplish your goal of earning a college degree?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Using the fifo method compute the cost of the units

data concerning a recent periods activity in the assembly department the first processing department in a company that

  What is her credit for childcare

Sherry works as a waitress. During the year she earned $27450 in wages and tips. What is her credit for childcare

  Assume that you have graduated from bridgewater state

1. assume that you have graduated from bridgewater state college and are a practicing cpa. one of your clients karen

  Jim and mary jean are married and have two dependent

jim and mary jean are married and have two dependent children under the age of 13. both parents are gainfully employed

  Transaction using the accounting equation

For each transaction, (1) analyze the transaction using the accounting equation, (2) record the transaction in journal entry form, and (3) post the entry

  Discuss what is the correcting journal entry

If no correcting journal entry is recorded, how are the 20X0 income statement and balance sheet, respectively

  The investment account includes an investment in common

the following is a december 31 2013 post-closing trial balance for almway corporation. nbspnbspaccount

  Required the current years income tax liability from the

the following facts apply to tinypart toy companys pending litigation as of december 31 2013a. tinypart is defending

  Risk of diversion of customer receipts

Which of the following internal controls most likely would reduce the risk of diversion of customer receipts by an entity's employees?

  Is the distribution of property prices symmetric

Based on the given information, can you determine how many properties sold for more than $520,000? Why or why not? Explain - Is the distribution of property prices symmetric, right-skewed or left-skewed? How many properties in the sample sold for le..

  Leonards home was damaged by a fire he also had to be

leonards home was damaged by a fire. he also had to be absent from work for several days to make his home habitable.

  How the different product types are affecting profits

Angie's accountant recommended that your team drill down further into the sales mix and cost figures to determine how the different product types are affecting

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd