User Account

All Pages

The partnership of avery and kirk was formed on july 1 when

Assignment Help Accounting Basics
Reference no: EM13599560

The partnership of Avery and Kirk was formed on July 1, when George Avery and Dinah Kirk agreed to invest equal amounts and to share profits and losses equally. The investment by Avery consists of $30,000 cash and an inventory of merchandise valued at $56,000. Kirk also is to contribute a total of $86,000. However, it is agreed that her contributions will consist of the transfer of both assets of her business and its liabilities (listed below). A list of the agreed values of the various items as well as their carrying values on Kirk s records follows. Kirk also contributes enough cash to bring her capital account to $86,000.

Investment by Kirk
Balances on Kirks Records Agreed value
Accounts Receivable......................81,680 79,600
Inventory.....................................11,400 12,800
Office Equipment (Net)...................14,300 9,000
Accounts Payable...........................24,800 24,800

a. Draft entries in general journal form to record the investments of avery and kirk in the new partnership

b. Prepare the beginning balance sheet of the partnership in report form at the close of business july 1 reflecting the above transfers to the firm

c. On the following june 30 after one year of operation the income summary account showed a credit balance of $74,000 and the drawing account for each partner showed a debit balance of $31,000 prepare journal entries tot close the income summary account and the drawing accounts at june 30

Reference no: EM13599560

Questions Cloud

Analays a code of conduct for a company for its refrences : analays a code of conduct for a company for its refrences to fraudulent activities and disciplinary action. give an
Since property plant and equipment ppe and long-term : since property plant and equipment ppe and long-term investments in stock represent a companys investment why do we
Compute the number of equivalent units with respect to both : during april the production department of a process manufacturing system completed a number of units of a product and
Ban-joe company manufactures two models of its banjo the : ban-joe company manufactures two models of its banjo the starter and the star. the starter model requires 10000 direct
The partnership of avery and kirk was formed on july 1 when : the partnership of avery and kirk was formed on july 1 when george avery and dinah kirk agreed to invest equal amounts
Prepare the journal entries to record depreciation expense : holtzman company is in the process of preparing its financial statements for 2012. assume that no entries for
Kilarny company is considering investing in an annuity : kilarny company is considering investing in an annuity contract that will return 20000 annually at the end of each year
Abis corporation uses the weighted-average method in its : abis corporation uses the weighted-average method in its process costing system. this month the beginning inventory in
Marshall co employs a staff of 30 at a total monthly gross : marshall co. employs a staff of 30 at a total monthly gross pay of 60000. the company withholds federal income tax at

Reviews

Write a Review

Accounting Basics Questions & Answers

  How many brackets should jasper produce

Finished goods inventory at the end of last December was 200 units. Ending finished goods inventory is equal to 25 percent of the next month's sales. Jasper Company expects to sell the brackets for $45 each. How many brackets should Jasper produce..

  Lady gaga enterprises on july 15 sells merchandise on

lady gaga enterprises on july 15 sells merchandise on account to usher iv co. for 1000 terms 210 n30. on july 20 usher

  Ethan competed in the annual austin marathon this year and

ethan competed in the annual austin marathon this year and won a 25000 prize for fastest wheelchair entrant. ethan

  Minium required rate of return of 10 and is considering in

1 fixed cost are 800000 and the verable cost are 75 of unit selling price what is the break even point.2 minium

  Allocation to production

If Jones assigns costs to departments based on square footage, how much total costs will be allocated to Production Department 1?

  How would the following errors affect the account balances

how would the following errors affect the account balances and the basic accounting equation assets liabilities

  What would be the net income after taxes

The Beta Corporation had 2007 revenues of $200,000,expenses of $140,000, and an income tax rate of 30 percent. Net income after taxes would be

  Interest in a passive activity

In the current year, Louise invests $50,000 for a 10% interest in a passive activity. Her share of the loss this year is $10,000. If this is her only passive activity, the $10,000 loss is suspended for use in a future year.

  Rhonda can transfer property that selecthashas notcorrect 1

rhonda owns 50 of the stock of peach corporation. she and the other 50 shareholder rachel have decided that additional

  Determining taxable income rules

In 2012, Warren sold his personal use automobile for a loss of $9,000. He also sold a personal coin collection for a gain of $10,000. As result of these sales, $1,000 is subject to income tax.

  Starfleet corporation has one temporary difference at the

starfleet corporation has one temporary difference at the end of 2012 that will reverse and cause taxable amounts of

  Which of the four methods of evaluating capital projects

1. which of the four methods of evaluating capital projects would you prefer to use and why? how would the type of

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