partners with the following P/L ratio and capital balances: A (60%) P100,000; B(30%) P60,000; and C (10%) P20,000.
Q: The following accounts are from last year's books at Sharp Manufacturing: Raw Materials Work In Proc...
A: In this Question, we have to find out the manufacturing under applied and overapplied overhead When...
Q: A sole proprietorship business is planning to incorporate its business to acquire more capital inves...
A: Incorporation means the legal procedure which is used to form the corporate entity or the company. I...
Q: Why should multinational companies be concerned about auditing issues? Think about this in the conte...
A: Audit refers to independent examination of financial or non financial information of any entity irre...
Q: Lucia Company has set the following standard cost per unit for direct materials and direct labor. Di...
A: This question requires us to calculate Direct Materials Price, Direct Materials Quantity Variance, D...
Q: Prepare general journal entries for the following four transactions for Entity Ltd. In this question...
A: Journal Entry The purpose of preparing the journal entry to enter the required transaction into debi...
Q: Company X recorded the following adjusting entries to their accounts at the end of the year: 1. Decr...
A: The adjustment entries are prepared to adjust the revenue and expenses of the current period.
Q: Which of the following entries appear on the parent company’s books to account for its investment in...
A: In case of investment in subsidiary, the effect of inter-company transactions are eliminated from th...
Q: PART II - Below are 2019 FMT Company Cash flow accounts. Increase in bonds 170.0 Net income 117.5 In...
A: Statement of cash flows: It is a financial statement that shows the increase or decrease in the cash...
Q: Company A purchased Company B for $156 cash. At the time of purchase, Company B had the following in...
A: Lets understand the basics. When purchaser paid more than the net asset of the company then goodwill...
Q: Colt Company 1. 3
A: A cash account refers to the account which reflects all the money transactions made by an entity.
Q: A machine costs rs. 22,000 and it's salvage value after its useful life of 5 years is rs. 4,000. Ear...
A: Answer: Given Machine cost 22000 Salvage value 4000 Useful life 5 Depreciation ye...
Q: If you were interested in determining a company's ability to survive over a long period of time, you...
A: Ratio analysis is a method of computing and analyzing financial ratios to form a judgement regarding...
Q: Read the problem and answer the questions worksheet 1. There are 1,000 iron bars in stock, and 1,500...
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any ...
Q: The beginning inventory of merchandise at Rhodes Co. and data on purchases and sales for a three-mon...
A: The question is based on the concept of the cost accounting
Q: A corporation is closing its business on December 31, 2021 due to financial incapacity after being h...
A: Ending inventory balance refers to the amount of inventory which the company has in stock at the end...
Q: On January 1, 2021, Marigold company acquired a computer amounting to P47,000, transportation cost o...
A: Cost of computer = Purchase price of computer + transportation cost + installation cost of desk ...
Q: May 1: Prepaid rent for three months, $2,400 • May 5: Received and paid electricity bill, $70 • May ...
A: Calculation of net come in cash basis and accrual basis are as follows
Q: 17. Based on the above, which method would show a larger net income number? (FIFO, LIFO or WA)
A: 1. FIFO Method - Under FIFO Method, Inventory purchased first is sold first. 2. LIFO Method - Under ...
Q: A company bought a machine for BD300,000 which has a useful life of 7 years and can be sold for BD30...
A: Depreciation is the reduction in the value of asset due to its normal use and tear and wear. It is c...
Q: I have the entire chart completed as seen in the attachment but I can not figure out what I am doing...
A: Comprehensive Income - Comprehensive Income include items which are not included in the statement of...
Q: acquisition, difference between current fair values and book values of subsidiary’s identifiable ass...
A: business combination refers to to separate enterprises into a single economic entity as a result of ...
Q: In a business combination - stock acquisition, difference between current fair values and book value...
A: Solution Concept Goodwill In a business combination - stock acquisition, difference ...
Q: General Partners should withhold social security tax on their guaranteed payments
A: General partner is any partner in the partnership who is involved in the operations of partnership a...
Q: Show the complete solution. IBM is engaged in selling motorcycle spare parts and components is encou...
A: Operating cycle : = Average time to sell the goods + Average time to receive cash from customers
Q: The following information is from Tejas WindowTint's financial records. Month Sales Purchases $72,00...
A: Cash budgeting is an estimation of cash collection and cash disbursement during a specific time peri...
Q: You are the sales manager at Bright Lights (Pty) Ltd, a hardware store. A promotion and awareness ca...
A: Tent pump 300 30% mark up on cost 390 Pond pump 900 25% margin on selling price 1200 Garden ...
Q: Solve by using compound table: (Round your answers to the nearest cent.) # of Periods to be Compound...
A: Compound Interest: Compound interest is the premium one procures on interest. In contributing, compo...
Q: alize Materials Purchases The following are the transactions of Dolphin Company for the month of Nov...
A: The Journalizing of the transactions is process of recording the all business transaction in the Jo...
Q: Reggie makes $400 per week and has a cash taxable benefit of $5 00 per pay He is paid weekly How muc...
A: 1: Calculate the basic pay-period exemption Divide the basic yearly exemption ($3,500 for 2021) by t...
Q: PART II - Below are 2019 FMT Company Cash flow accounts. Increase in bonds 170.0 Net income 117.5 In...
A: Statement of cash flows: It is a financial statement that shows the increase or decrease in the cash...
Q: Prepare a Statement of Changes in Owner's Equity
A: Statement of (Owner’s) stockholders’ equity refers to a financial statement which shows the shares i...
Q: On January 1, 2020 Machu, Inc. acquired mining rights near Cordillera for P20,000,000 for 10 years, ...
A: Solution Comprehensive income includes net income and unrealised income , such as unrealised gain o...
Q: RR Corporation acquired 80 percent of the stock of GG Company by issuing shares of its common stock ...
A: The question is related to Consolidation. The details are given below. Given that Share of RR Corp...
Q: ne lease agreement, jutling machi: ave been obtained from Lessee's ght-line depreciation for its jut...
A: Lease refers to the contract by which one part rents out an asset for a desired period of time and p...
Q: Part #5: E Company has budgeted sales revenues of $174,000 for May, $210,000 for June, $238,000 for ...
A: Given sales revenue for July = $238,000 Percentage of cash collected in month of sale = 55% Percenta...
Q: 3. Penelope purchased a $10,000, 8% quarterly bond, held it for five years, received twenty coupon p...
A: In this question, we are required to calculate Purchase Price of the Bond given that Bond value is $...
Q: .Explain why companies must follow accounting standards in presenting financial statements.
A: Accounting standards are the policies and practices that every company needs to follow in preparing ...
Q: PART I- FMT Company had the following balance sheets and income statements accounts over the last th...
A: An income statement is a financial report that indicates the revenue and expenses of a business. It ...
Q: PART I- FMT Company had the following balance sheets and income statements accounts over the last th...
A: Balance Sheet: Balance Sheet December'31 Assets (In Thousands) 2018 2019 2020 Current A...
Q: The statement of financial position for Aminah Kaya Berhad together with relevant notes are given be...
A: Financial statements of the company includes the cash flow statement. It is cash book but shows the ...
Q: Within our forecasting model we do not make "forecasting assumptions", but rather we make "forecasti...
A: Introduction Forecasting is a technique of making estimates and predictions that are useful in deter...
Q: You are auditing the financial statements of Austin Software Company, which is a fast-growing softwa...
A: Introduction:- Audit procedures are actions taken by auditors to obtain all relevant information abo...
Q: a. Who will suffer negative effects if you do not comply with Lisa Infante's instructions? Who will ...
A: (a) If you do not follow LisaInfante's directions as assistant controller, you may face certain cons...
Q: Use the following to answer questions 1 – 6 Case 1Case 2 Case 3 Case 4 Beginning inventory $20,000$8...
A: In Accounting, financial statement are prepared. financial statement consists of trading and profit ...
Q: What are the importance of financial statement? What is the purpose of financial statement?
A: The financial statement is organized summaries of detailed information about the financial positions...
Q: The following data pertain to Dakota Division's most recent year of operations. Income $ 4,350,000 5...
A: Sales Margin: The sales margin, also known as the contribution margin, is the amount of money a firm...
Q: ncome and balance she Columns on a worksheet are summe nder what circumstances do they balance?
A: Solution Concept Income statement Income statement is the statement of income and st...
Q: Which is true regarding the Non controlling interest? * [a] It is accounted for in the subsidiary’...
A: Solution Concept The consolidated financial statements is required to be prepared by the parent comp...
Q: An insurance agent has been attempting to convince you to purchase an savings plan towards your reti...
A: solution given Saving at beginning of month 325 Number of years 30 Interest rate 1...
Q: a. What are the pros and cons of incorporating the business as regards taxation? b. Assume that the ...
A:
A, B and C are partners with the following P/L ratio and capital balances: A (60%) P100,000; B(30%) P60,000; and C (10%) P20,000.
Case 1: D purchases one-half of A’s capital interest or P70,000. Provide the
Step by step
Solved in 2 steps
- Partners R and S receive a salary allowance of P3,000 and P7,000, respectively, and share the remainder equally. If the company earned P4,000 during the period, the entry to close the income or loss into their capital accounts is: a. Income Summary R, Capital S, Capital b. Income Summary S, Capital c. Income Summary R, Capital S, Capital d. Income Summary R, Capital S, Capital Ο Ο Ο Ο O A O D 10,000 4,000 14,000 6,000 3,000 7,000 4,000 7,000 7,000 3,000 3,0003. LCX, MRD, and NTJ are partners in LMN Partnership. The partnership contract stipulated that profit or loss shall be divided as follows: Salaries of P175,000 to LCX, P262,500 to MRD, and P350,000 to NTJ; A bonus to NTJ of 10% of profit after deduction of partners' salaries; Remaining profit or loss as follows: 30% to LCX, 40% to MRD, and 30% to NTJ.balances: A (60%) P100,000; B (30%) P60,000; and C (10%) P20,000. Case 1: D purchases one-half of A's capital interest for P70,000. A, B and C are partners with the following P/L ratio and capital balances: A (60%) P100,000; B (30%) P60,000; and C (10%) P20.00 Provide the journal entry under the 'book value' method.
- Partners A, B and C had the following balances prior to admission of D: A, Loan (debit): P 20, 000; B, Loan (credit): P 60, 000; A, Capital (debit): P 30, 000; B, Capital (credit): P 120, 000; C, Capital (credit): P 70, 000. Partners A, B and C share profits and losses in the ratio 5:2:3 respectively. D is admitted in the partnership for a 20% interest in the partnership in exchange for an investment of P 40, 000 cash. Prior to admission of D, the partners agreed to increase the carrying value of inventories by P 60, 000 in order to bring it to its fair value. Immediately after the admission, the capital credit of D would be:CC admits DD as a partner in business. Accounts in the ledger for CC on November 30, 20x4, just before the admission of DD, show the following balances: Cash.... P 6,800 Accounts Receivable... 14,200 Merchandise Inventory... 20,000 Accounts Payable.. . 8,000 CC, Capital... 33,000 It is agreed that for the purposes of establishing CC's interest the following adjustments shall be made: 1. An allowance for doubtful accounts of 3% of account receivable is to be established. 2. The merchandise inventory is to be valued at P23,000. 3. Prepaid salary expenses of P600 and accrued rent expense of P800 are to be recognized. 1 DD ic to invest sufficient cash to obtain a 1/3 interest in theW and X are partners who have agreed to admit Y, who will invest P15,000 for a 20 percent interest. The previous capital balances were P15,000 and P30,000 for W and X, respectively. W and X had shared profits and losses equally. What amount will be recorded in Y's Capital account? a. P6,000 credit b. P12,000 credit c. P15,000 credit d. P9,000 credit
- The partners have agreed that: • Profit and losses are to be shared equally. • Interest on Drawings is at 3% per year. • Interest on Capital is at 5% per year. Required: a. Prepare the Profit and Loss Appropriation Account for the year ending 31 December 2022. b. The Partners’ Current Account for the year 2022. Don't give answer in image format2. Hailley and Indie formed a partnership, with capital contributions, as follows: Hailley- Cash of P1,350,000 Indie -Equipment with an agreed value of P 1,500,000 Give the journal entry. Description P.R. Debit CreditAccording to Profil and Loss Account, the net profit for the year is OMR250,000. The total interest on partner's capital is OMR BOLO00 and interest on partner's drawings is OMR 30.000 The net profit as per Profit and Loss Appropriation Account will be OMR 110.000 (Prolit) OMR 200,000(Loss) OMR 200,000(Protit) OMR 200000 (Profit)
- (c) On December 31, the capital balances and income ratios in Bismillah Company are as follows. Capital Balance Tk. 100,000 80,000 50,000 Income Ratio 50% 30% 20% Partner Abu Bakar Umar Usman Instructions (1) Journalize the withdrawal of Usman under each of the following assumptions. (i) Each of the continuing partners agrees to pay Tk. 30,000 in cash from personal funds to purchase Usman's ownership equity. Each receives 50% of Usman's equity. (ii) Umar agrees to purchase Usman's ownership interest for Tk. 35,000 cash. (iii) Usman is paid Tk. 60,000 from partnership assets, which includes a bonus to the retiring partner. (iv) Usman is paid Tk. 42,000 from partnership assets, and bonuses to the remaining partners are recognized.The following is the trail Balance of X and Y Co. as on March 31, 2021. The partners sharing profits and losses in the ratio 2:1. Prepare the Income Statement, Profit & Loss Appropriation A/c, Partners' Capital A/c and the Balance Sheet. Particulars Dr. Particulars Cr. 375000 x Capital A/c 112500 Y Capital A/c 50000 Sundry creditors 100000 Sales (net) 50000 Discount Land and Buildings Plant and Machinery 125000 75000 Wages 62500 Opening Stock of Finished Goods 812500 Opening Stock of Raw material Opening Stock of Work in Progress Sundry debtors 6250 45000 Provision for bad debts 3750 125000 Commission 3750 Y's Loan A/c 2250 25000 Carriage inwards 75000 Carriage outwards Factory Expenses 18750 Royalties 3750 Purchase of Raw material (net) 187500 16250 7250 10000 Factory rent & taxes Discount Office rent Insurance 5000 3750 18750 30000 20500 1185000 The following additional information is to be taken into consideration: Bad debts Office Expenses Salaries of works manager Cash at bank…The following is the trail Balance of X and Y Co. as on March 31, 2021. The partners sharing profits and losses in the ratio 2:1. Prepare the Income Statement, Profit & Loss Appropriation A/c, Partners' Capital A/c and the Balance Sheet. Particulars Dr. Particulars Cr. Land and Buildings 187500 x Capital A/c 56250 Y Capital A/c 25000 Sundry creditors 50000 Sales (net) 25000 Discount 22500 Provision for bad debts 62500 37500 Plant and Machinery Wages 31250 Opening Stock of Finished Goods 406250 3125 Opening Stock of Raw material Opening Stock of Work in Progress 1875 Sundry debtors 62500 Commission 12500 Carriage inwards 1875 Y's Loan A/c 37500 Carriage outwards 1125 Factory Expenses 9375 Royalties 1875 Purchase of Raw material (net) 93750 Factory rent & taxes 8125 Discount 3625 Office rent 5000 Insurance 2500 Bad debts 1875 Office Expenses 9375 Salaries of works manager 15000 Cash at bank 10250 592500 The following additional information is to be taken into consideration: 592500…