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Problem 1: On April 30, 20x1, A, B and C formed a partnership. A contributed cash of ?50,000. B contributed property with ?36,000 carrying amount, ?40,000 original cost and ?80,000 fair value. The partnership accepted responsibility for the ?35,000 mortgage attached to the property. C contributed equipment with ?30,000 carrying amount, ?75,000 original cost and ?55,000 fair value. The partnership agreement specifies that profits and losses are to be shared equally but is silent regarding capital contributions. Which partner has the smallest April 30, 20x1 capital account balance?
Explain what is meant by the Internal Revenue Service conformity rule with respect to the inventory method choice.
Use this information to prepare the compound General Journal entries (without explanation) for all events related to the notes
What potential audit procedures could the team consider to evaluate management's revenue recognition policies
Gerber Ltd. buys 2,000 of the 100,000 shares of Efron Inc., paying $35.00 per share. Compute Gerber Ltd.'s new cost per share after receiving the stock dividend
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Share Capital - 9,000,000 fully paid ordinary shares 9,000. Prepare journal entries to record the valuation adjustments, including any tax effect
Horizon Corporation manufactures personal computers. Discuss the ethical dilemma faced by Jim Fielding and Discuss the revenue recognition principle
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