What is the effect on A capital

Assignment Help Financial Accounting
Reference no: EM132485173

Question 1: Partners A and B receive a salary allowance of $12,000 and $18,000, respectively, and share the remainder equally. If the company earned $20,000 during the period, what is the effect on A's capital?

Reference no: EM132485173

Questions Cloud

Make all journal entries necessary on those three dates : Pearl securities are to be distributed on October 23, 2018, to stockholders of record on October 8 2018. Make all journal entries necessary on those three dates
How big data analytics can be used with smart cities : This week's reading centered around how Big Data analytics can be used with Smart Cities. This is exciting and can provide many benefits to individuals.
Prepare Cullumber journal entries to record transactions : On November 1, Cullumber reissued 40 shares at $84 per share. Prepare Cullumber's journal entries to record these transactions using the cost method
Continuing residual income and the persistence factor : What are the three common assumptions made by analysts concerning the continuing residual income and the persistence factor?
What is the effect on A capital : Partners A and B receive a salary allowance of $12,000 and $18,000, respectively. If the company earned $20,000 during the period, what is the effect on A's
Make the journal entry to record the issuance : The common stock has a market price of $20 per share, The preferred stock has a market price of $100 per share. Make the journal entry to record the issuance
Describe the alternatives that as an accountant : Describe the alternatives that you as an accountant would have in this situation. Jay Farrar Company is a manufacturing company
What is safeco weighted average cost of capital : What would Safeco Inc.'s beta and cost of equity be after the proposed changes? What is Safeco's weighted average cost of capital before
Pricing stock issues in an ipo : What is the correctly valued offer price? Do not round intermediate calculations. Round your answer to the nearest cent.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Calculate the cost of equipment

On January 1. 20X1, Graham Corporation purchased equipment by agreeing to pay $100,000 down and signing an installment loan agreeing to make three payments of $100,000 each at the end of 20X1, 20X2, and 20X3. The going rate of interest on similar tra..

  Difference between cash receipts and cash disbursements

Brarin Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow: Sales are budgeted at $240,000 for November, $260,000 for December, and $250,000 for January. The difference between cash receipts and ca..

  Classified them available-for-sale securities

Libby Company purchased equity securities for $120,000 and classified them as available-for-sale securities. At the end of the year, the fair value of the securities was $125,000. How should the investment be reported in the year-end financial statem..

  Construct page business plan

You have completed all of the necessary sections of your business plan and will now create a final draft. Use any/all feedback you have received to polish your plan to the point that you could confidently show it to investors and potential partner..

  What are the tax consequences of the distributions to ivory

Assume that Ivory Corporation distributes cash and inventory to Gold Corporation and the equipment to Imelda. -What are the tax consequences of the distributions to Ivory Corporation, to Gold Corporation, and to Imelda?-

  Average number of common shares

When computing diluted earnings per share, the weighted average number of common shares outstanding will increase

  Amount of credit sales for the month

Swathmore Clothing Corporation grants its customers 30 days' credit. The company uses the allowance method for its uncollectible accounts receivable. During the year, a monthly bad debt accrual is made by multiplying 2% times the amount of credit sal..

  Well-diversified portfolios and the risk-free rate

Assume that both X and Y are well-diversified portfolios and the risk-free rate is 8%.  In this situation, you would conclude that portfolios X and Y.

  Determine the total contribution margin

For the most recent year, Triad Company had fixed costs of $290,000 and variable costs of 80% of total sales revenue, earned $87,750 of net income after taxes, and had an income tax rate of 35%. Determine the before-tax income. Determine the total co..

  Why to use the allowance method for bad debt

Sold six 1000 watt microwaves and four 1200 watt microwaves on account to Briana Co., invoice 891, terms 2/10, n/30, FOB shipping point.

  Exchanged the equipment for new equipment

Jones Corp. purchased equipment for $45,000. Total depreciation of $36,000 was recorded. On January 1, 2017, Jones exchanged the equipment for new equipment, paying $56,000 cash. The market value of the new equipment is $65,000. Prepare the journal e..

  Prepare the journal entry assuming the payment

Bolton Garage Doors Corporation sold merchandise with a gross price of $22,500 to Sammy's Wholesale Company. Bolton offered terms of 2/10, n/30 and uses the gross method.

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!

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