*** If you are satisfied with the solution, kindly UPVOTE ? this answer. Thank You
ALL THE BEST
2. The capital balances of the DEF Partnership are as follows: Danielson $180,000 Eklund 95,000 Forsberg...
The capital balances of the DEF Partnership are as follows: Danielson $180,000 Eklund 95,000 Forsberg 150,000 Total $425,000 The partners' income sharing ratio is: Danielson, 25%; Eklund, 45%; Forsberg, 30%. Assume the partnership’s identifiable net assets are carried at amounts approximating fair value. Case A: Assume Gustafson joins the partnership by contributing $125,000 to the partnership for a 20% interest in partnership capital. Case B: Now assume Gustafson paid $90,000 for a 20% interest in partnership capital. Instruction: For each...
The capital balances of the DEF Partnership are as follows: Danielson $180,000; Eklund 95,000; Forsberg 150,000 Total $425,000 The partners' income sharing ratio is: Danielson, 25%; Eklund, 45%; Forsberg, 30%. Assume the partnership’s identifiable net assets are carried at amounts approximating fair value. Case A: Assume Gustafson joins the partnership by contributing $125,000 to the partnership for a 20% interest in partnership capital. Case B: Now assume Gustafson paid $90,000 for a 20% interest in partnership capital. Instruction: For each...
The capital balances of the DEF Partnership are as follows: Danielson $180,000; Eklund 95,000; Forsberg 150,000 Total $425,000 The partners' income sharing ratio is: Danielson, 25%; Eklund, 45%; Forsberg, 30%. Assume the partnership’s identifiable net assets are carried at amounts approximating fair value. Case A: Assume Gustafson joins the partnership by contributing $125,000 to the partnership for a 20% interest in partnership capital. Case B: Now assume Gustafson paid $90,000 for a 20% interest in partnership capital. Instruction: For each...
The Second Wind partnership has the following capital balances at the end of the year: Dean 180,000 Ed 320,000 Ben 120,000 Dan 150,000 The partners share profits and losses 3:3:2:2, respectively. Dan retired and based on the partnership agreement was paid $200,000. Under the goodwill method, what are the capital balances of the remaining partners? Dean 255,000; Ed 395,000; Ben 195,000; Dean 255,000; Ed 395,000; Ben 170,000; Dean 161,250; Ed 301,250; Ben 107,500; Dean 198,750; Ed 338,750; Ben 132,500; None of the answers is...
please help with both parts. someone else may know it. 14.12 Retirement Effects on Partnership Balance Sheet and Income Urban Tech is a na providing technology services to local businesses. Its balance sheet is as follows: Cash... Receivables ............... Supplies ............ Equipment, net......... Building, net.......... Land. $ 340,000 100,000 25,000 450,000 975,000 300,000 $2,190,000 Accounts payable........... Loans payable ..... Lopez, capital. Martinez, capital..... Nunez, capital. ....... $ 125,000 500,000 90,000 650,000 825,000 Total assets .......... Total liabilities and capital .......
The Distance Plus partnership has the following capital balances at the beginning of the current year: Tiger (40% of profits and losses) $ 110,000 Phil (40%) 80,000 Ernie (20%) 95,000 Each of the following questions should be viewed independently. If Sergio invests $130,000 in cash in the business for a 30 percent interest, what journal entry is recorded? Assume that the bonus method is used. If Sergio invests $120,000 in cash in the business for a 30 percent interest, what...
The Distance Plus partnership has the following capital balances at the beginning of the current year: Tiger (40% of profits and losses) $ 120,000 Phil (30%) 90,000 Ernie (30%) 105,000 Each of the following questions should be viewed independently. If Sergio invests $150,000 in cash in the business for a 20 percent interest, what journal entry is recorded? Assume that the bonus method is used. If Sergio invests $71,000 in cash in the business for a 20 percent interest, what...
The Distance Plus partnership has the following capital balances at the beginning of the current year: Tiger (50% of profits and losses) $ 105,000 Phil (20%) 75,000 Ernie (30%) 90,000 Each of the following questions should be viewed independently. If Sergio invests $100,000 in cash in the business for a 20 percent interest, what journal entry is recorded? Assume that the bonus method is used. If Sergio invests $60,000 in cash in the business for a 20 percent interest, what...
The Distance Plus partnership has the following capital balances at the beginning of the current year: Tiger (50% of profits and losses) $ 70,000 Phil (40%) 40,000 Ernie (10%) 55,000 Each of the following questions should be viewed independently. If Sergio invests $60,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the bonus method is used. If Sergio invests $50,000 in cash in the business for a 25 percent interest, what...
A partnership has the following capital balances: Arlo (50% of gains and losses) Band (30%) Carlyle (20%) $ 96,000 120,000 180,000 David is going to invest $105,000 Into the business to acquire a 30 percent ownership Interest. Goodwill is to be recorded. What will be David's beginning capital balance? $150,300 $169,714 $105,000 $118,800 A local partnership is considering possible liquidation because one of the partners (Bell) is insolvent. Capital balances at the current time are as follows. Profits and losses...