please explain where these numbers are coming from, the computations done to arrive at these numbers and the two ways to settle a capital deficiency
I posted a second image that should be visible
1 | Labels here | Cash | Non cash assets | = | Liabilities | Sawyer capital | Adam's capital | Darby's capital | |
$ 15,000.00 | $ 80,000.00 | $ 20,000.00 | $ 30,000.00 | $ 40,000.00 | $ 5,000.00 | ||||
Realized from non-cash assets | $ 50,000.00 | ||||||||
Loss on realization | $ (30,000.00) | ||||||||
Balance | $ 65,000.00 | ||||||||
Less: liabilities paid | $(20,000.00) | $ 20,000.00 | |||||||
Balance | $ 45,000.00 | 45000 | 0 | $ - | $ 30,000.00 | $ 40,000.00 | $ 5,000.00 | ||
Loss on realization( distributed in 6:3:1) | $ (18,000.00) | $ (9,000.00) | $ (3,000.00) | ||||||
Balance | $ 45,000.00 | $ - | $ 12,000.00 | $ 31,000.00 | $ 2,000.00 | ||||
Distribued between partners according | $(45,000.00) | $ (12,000.00) | $ (31,000.00) | $ (2,000.00) | |||||
to their capitals | |||||||||
Balance | $ - | $ - | $ - | $ - | $ - | $ - | |||
Extra Credit | |||||||||
1 | The partners in Debt have to pay to the company to cover the Capital deficieny | ||||||||
2 | The partners covers the deficieny by adjusting it with their capital balances |
please explain where these numbers are coming from, the computations done to arrive at these numbers...
Please explain how they arrived at these numbers. I don't
understand what to do when there is a cap or a limit on something.
I don't understand which ones have caps and how to apply those to
the problem. I understand what to do once the numbers are in this
table. I just don't understand how to arrive at all these numbers.
Also explain 2 ways to settle a capital deficiency please.
The SAD partnership is to be liquidated. The...
Please explain where the numbers I highlighted came
from and the computations that were done to arrive at these
numbers.
The WOW partnership agreement stipulates a salary, interest on beginning capital, and profit & loss ratios as follows: Salary Interest P/L Ratio Beg. Capital Wendy $10,000 20% $30,000 Amanda 20,000 10% 30% 20,000 Winona -0- 20% 50% 40,000 10% Make a schedule, labels in the left column, to show net income of $40,000 shared among the 3 partners. Wendy Amanda...