What journal entry is recorded

Assignment Help Financial Accounting
Reference no: EM132885270

The Distance Plus partnership has the following capital balances at the beginning of the current year:

Tiger (50% of profits and losses) $85,000

Phil (30%) 55,000

Ernie (20%) 70,000

Each of the following questions should be viewed independently.

Problem 1: If Sergio invests $90,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the bonus method is used.

Problem 2: If Sergio invests $64,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the bonus method is used.

Problem 3: If Sergio invests $72,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the goodwill method is used.

Reference no: EM132885270

Questions Cloud

Calculate the weighted average interest rate : Dexter had a 12%, 5-year, $3 million note payable and a 10%, 10-year, $1.8 million note payable outstanding all year. Calculate weighted average interest rate
What is the before-tax cost of capital for debt financing : The net proceeds (proceeds after flotation costs) are $979 for each $1,000 bond. What is the before-tax cost of capital for this debt financing?
What is value today if a six percent discount rate : If a 6 percent discount rate is appropriate for this stock, what is its value today? A fast-growing firm recently paid a dividend of $0.30 per share.
Compute Nabokov cost of the land acquired : Faulkner also paid Nabokov $2,000 in cash. Compute Nabokov's cost of the land acquired and any gain or loss on the exchange
What journal entry is recorded : If Sergio invests $64,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the bonus method is used
The concerts can be any popular music performance : The concerts can be any popular music performance in which you can listen actively to the performance.
The staffing dilemma case : Draft an advertisement for this position that will appear in a local or professional periodical - role play in which you and Franklin interview Grant
Prepare the entry to record the acquisition of the asset : Marshall Inc. purchased equipment for $1,000,000 that was to be used in various toxic chemical processes. Prepare the entry to record the acquisition of assets
The purpose of functional behavior : The purpose of a functional behavior assessment is to determine when, where, and why a student is engaging in challenging behaviors.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Trial balance report basis for preparing adjusting entries

Follow the step-by-step instructions to record the transactions, process the adjusting entries, and prepare the financial statements. You may click Info. on the toolbar for helpful check figures to audit your work. Use the following adjustment data f..

  Find how much is tardis total equity

Find How much is Tardis's total equity?Tardis, Inc. has total current assets of $900,000; total current liabilities of $450,000; long-term assets of $300,000

  Choose a publicly traded company involved in a merger or

choose a publicly traded company involved in a merger or acquisition transaction that occurred in the last five years

  Explain why a business would choose to use special journals

What are advantages of using a cash receipts journal and cash payments journal? Explain why a business would choose to use special journals. Must a business open all four special journals in order to use special journals?

  What should be the charge for depreciation of this equipment

On January 1, 2012, Forbes Company purchased equipment at a cost of €50,000. What should be the charge for depreciation of this equipment

  Discuss the pros and cons of the us federal government

Discuss the pros and cons of the U.S. Federal Government guaranteeing the pension funds of a private company when it declares bankruptcy. Discuss whether the U.S. Federal Government should guarantee and state your rationale.

  Prestige world wide has preferred stock outstanding

B). Prestige World Wide has preferred stock outstanding that is paying a dividend of 8 percent of the $100 par value, and is currently selling for $55 a share. The firm's tax rate is 34 percent. What is Jensen's cost of preferred stock?

  Prepare a comparative analysis using the financial statement

Prepare a 1,050-word comparative analysis using the financial statements of Amazon, Inc. presented in Appendix D.

  How retirements are recorded under each of the two methods

Present the arguments for and against the use of each of the two methods - describe how retirements are recorded under each of the two methods.

  What financial information about investment company holding

ACC201 - Financial Accounting Case study Assignment. What financial information about the investment company's holdings would be most relevant to you

  What is the current value of all the shares together

Your grandfather spent $8,000 in total to buy, The stock has appreciated 3 percent per year on average. What is the current value of all these shares together?

  How do discuss the assumptions for the distribution

Probability distributions play a major role in business analytics. Discuss the assumptions for the distribution and provide two examples.

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