In the process of journalizing the distribution of the loss, what will be done to the capital of X and in what amount?
Q: At Lyman Company, past experience reveals that 10% of sales are for cash and the remaining 90% are…
A: Cash collection budget is one of the important budget being prepared in business to show cash to be…
Q: Current Position Analysis The following items are reported on a company's balance sheet: Cash…
A: The current ratio and quick ratio both are the part of liquidity ratio. It indicates that the firm…
Q: 3. Prepare T accounts for the following three items: Rent receivable, Allowance for doubtful debts;…
A: Deferred Tax Assets and Liability Financial concepts called deferred tax assets and liabilities are…
Q: For the past year, shame ltd., had sales of $45,002, interest expense of $4,306, cost of goods sold…
A: One of a business's performance accounts, an income statement, commonly referred to as a profit and…
Q: Dollar-Value LIFO Belstock Company manufactures one product. On December 31, 2018, Belstock adopted…
A: computation of Ending inventory using dollar value LIFO method are as follows
Q: Dawson Toys, Limited, produces a toy called the Maze. The company has recently created a standard…
A: Variances are the difference between the actual costs and the costs estimated by the entity. These…
Q: ceKreme Inc. makes ice cream machines for sale to ice cream parlours. The following events occurred…
A: The amount owed to a business for goods or services that have been delivered or used but have not…
Q: Manny Carson, certified management accountant and controller of Wakeman Enterprises, has been given…
A: Ethical behavior refers to actions that are consistent with moral principles and standards of…
Q: Sunland Limited established a SARS program that entitled its new president, Susan Wilson, to receive…
A: The difference between fair value of securities and pre established price is recorded as…
Q: Fill in the blanks in the schedule below for two separate investment centers A and Investment Center…
A: Workings:- Investment Centre A: Profit Margin=Net Income/Sales 7% =$298,200/Sales Sales =$298,200/7%…
Q: QUESTION 5 You sell $1 million of microprocessors to one of your customers on account. After opening…
A: Journal Entry :— It is an act of recording transaction in books of account when transaction…
Q: b. What is the ratio of real assets to total assets for nonfinancial firms in the following table?…
A: Real assets are the types of assets that include the building, equipment, and land owned/leased by…
Q: The Roberto Company purchased a limo for $75,000 on October 10, 2020. The lime has a salvage value…
A: Depreciation: Depreciation is the use of fixed assets due to normal wear and tear of it in the…
Q: Budgets are the primary instrument managers
A: Budgeting is preparing a plan to spend the business's money. It allows the managers and…
Q: How are specialized budgets prepared? What is the relationship of specialized budgets to the…
A: Budgets are the financial planning of a particular financial item like sales, income, expense, cash,…
Q: Which of the following is not a common tool used in financial statement analysis? Group of answer…
A: Financial Statements: The statements that show the financial records of the company in the formal…
Q: Two sole proprietors L and M agreed to form a partnership on January 31, 20x4. The trial balance for…
A: And. For determining the total assets and liabilities fair value of the asset need to be considered.…
Q: Long-term debt ratio Times interest earned Current ratio Quick ratio Cash ratio Inventory turnover…
A: Return on Equity=Net incomeShareholders' equity×100 An income statement is a financial report that…
Q: On August 31, 2022, Avalon Ltd. had entered into a 6 year lease for some equipment that has a useful…
A: Lease is defined a contractual agreement incorporated between two business entities where one entity…
Q: John, Jeff and Jane, decided to engage in a real estate venture as a partnership. John invested,…
A: Journal entries refers to the entries which are made at the end of the period or year and it records…
Q: On January 1, 2023, Hornets Company sold land that originally cost P400,000 to the Egi Company. As…
A: Gain on the sale of land refers to the amount of profit made when a piece of land is sold. It is…
Q: Discuss whether a deduction would be allowable for the following: 1. Provision for the estimated…
A: The ITAA 1997 refers to the Income Tax Assessment Act 1997 of Australia. It is a federal law that…
Q: The Red Tide Company manufactures light bulbs in a single process. The following information is…
A: The Cost of production is the cost that a company may incur when offering a service or is…
Q: A man loan P 2,000 from the bank. How long would it take in years for the amount of the loan and…
A: Simple interest is the fixed amount of interest which is calculated by multiplying the interest rate…
Q: Mitsu Division has the following results for the year: Revenues $1,080,000…
A: Residual income is a financial performance metric that measures the net income a company or business…
Q: Kyle Company had the following information pertaining to 2022: Profit P100,000 Sales P1,000,000…
A: RETURN ON INVESTMENT Return on Investment is Calculated by Dividing Total Profit from an Investment…
Q: The following transactions relate to Academy Towing Service. Assume the transactions for the…
A: Vertical Statements: Vertical statements are financial statements that an analyst can use to compare…
Q: Use the information below to answer questions 5, 6 and 7. 2013 2014 Sales $4,500 $4,775…
A: The cash flow from operating activities is the cash generated or used by the day-to-day activities…
Q: Swifty Industries provided the following information for the month of February. 1. 2. 3. 4. 5 6 7 8…
A: A bank reconciliation statement aligns an organization's bank account with its financial documents…
Q: You have been asked to forecast the additional funds needed (AFN) for Houston, Hargrove, &…
A: AFN (additional funds needed) is the term used for the amount needed to be raised from external…
Q: The Motor Division of Sym Corporation uses 5,000 carburetors per month in its production of…
A: A transfer price is a term used to describe the price at which goods or services are sold from one…
Q: 4. Calculate the cash flow from assets, cash flow to creditors, and cash flow to stockholders for…
A: Ratio Analysis By contrasting various financial ratios derived from a company's financial…
Q: K Base Machinery showed the following operating budget for the next year. Complete parts (a) through…
A: Contribution margin: = Sales - Variable cost Contribution Rate: =(Contribution / Sales) * 100
Q: Sandhill Company has several processing departments. Costs to be accounted for in the Assembly…
A: calculation of equivalent units and cost per unit and total cost are as follows
Q: What is the purpose of a production report? (AVERAGE FIFO METHOD COSTING)
A: A dashboard that includes a production report makes it easier to monitor the most crucial KPIs from…
Q: AutoTech's Northern Division is currently purchasing a part from an outside supplier. The company's…
A: Transfer pricing methodology is used when products needs to be sold or transferred from one division…
Q: the end of the fiscal year, the accountant for The Gorman Group prepared an end-of-period…
A: Income Statement Is One Of The Three Major Financial Statements That Shows The Profit Over a…
Q: Current Attempt in Progress Tim Crane started Crane Roof Repairs on April 2, 2024, by investing…
A: 1. Journal Entries - Journal Entries are the recording of transactions of the organization. It is…
Q: On April 15, 2024, Sampson Consulting provides services to a customer for $100,000. To pay for the…
A: INTRODUCTION: A decrease in the value of an immovable asset simply indicates a decrease in the…
Q: The Magellan Division of Global Corporation, which has income of $250,000 and an asset investment of…
A: A divisional Performance measure is a concept used widely in organizations having multiple…
Q: Refer to the individual rate schedules in Appendix C Required: A. What are the tax liability, the…
A: INTRODUCTION: The amount of money you owe to taxing authorities, such as your local, state, and…
Q: The following relates to a single sale of goods made by Spurs in 2023: Selling price…
A: FOB shipping point and FOB destination are terms use in shipping industry to determine who is…
Q: Adventure Fishing provides guided fishing tours. The company charges $260 per person but offers a…
A: Sales allowance is reduction in sales due to quality or defects in products. Sales discounts are…
Q: Provide 3 substantive audit procedures chosen among the following topics: free meal, lawsuit,…
A: Inventory: Audit procedure: Physical inventory count and observation Explanation: To ensure the…
Q: The management of Sunland Company is reevaluating the appropriateness of using its present inventory…
A: Valuation of inventory or stock is a method for valuing the inventory at the end of the period to…
Q: Fair values at December 31 are B, $84,300; C, $604,800; X, $100,000; and Z, $288,000. Required: 1.…
A: Long term Investment - Available for Sale A long-term investment that is available for sale is one…
Q: The following data were taken from the year-end records of Nomura Export Company: Required: Fill in…
A: Earnings Per Share: The calculation of the per-share value of the shares is the indicator of the…
Q: At the beginning of the current season on April 1, the ledger of Crane Pro Shop showed Cash $3,280,…
A: Journal Entries: Journal entries are the summary of all the financial transactions that occurred in…
Q: An analyst must be familiar with the concepts involved in determining income. The amount of in- come…
A: Period costing is one of the methods of costing deals with costs that are not directly related to…
Q: Dividends Per Share Internal Insights Inc., a developer of radiology equipment, has stock…
A: calculation of preferred stock dividend and common stock dividend per share are as follows
Step by step
Solved in 2 steps with 2 images
- 29. The net income of ABC partnership for the year is P100,000. Partner A is to be given a salary of 5,000 per month. The capital balances of A, B and C are P 150,000, P 160,000, and P 140,000, respectively. Interest in the capital balance will be given at a rate of 15%. Bonus of 10% after salaries and interest is given to partner C. Remaining profit is to be distributed equally to the partners. How much is C's share in the income? c. P 10,000 а. Р 11,833 b. P 14,833 d. P 13,000 O A О вPartners A and C shall receive annual salaries of B12,000 and B8,000, respectively. A bonus of 10% of profit after salaries but before deduction of bonus shall be given to Partner A, the managing partner. Each partner shall receive 10% interest on average capital investments. Any remaining profit or loss shall be shared as follows: 40% to A and 30% each to B and C. The average capital investments of partners during the year are as follows: A B100,000 60,000 120,000 Assiuming that the partnershin earnec a profit amounting to P10 000 1 pointPartners A, B and C are contemplating using the following profit distribution plan: Salary is to be given to A in the amount of P60,000, with the remainder in an equal rates to all partners. A is guaranteed a minimum profit share of P100,000. a) Profit for the first year is P240,000 b) Profit for the second year is P150,000. Compute for the profit share of partners B and C in both years.
- The partnership agreement of X, Y, and Z stipulates the following:a. Partners Y and Z shall receive annual salaries of P23,000 and P12,000, respectively.b. A bonus of 15% of profit after salaries but before deduction of bonus shall be given to Partner X, themanaging partner.c. Each partner shall receive 11% interest on average capital investments.d. Any remaining profit or loss shall be shared as follows: 30% to X, and 35% each to Y and Z.The average capital investments of the partners during the year are as follows: X – P125,000; Y – P78,000;and Z – P101,000.Case # 1: The partnership earns profit of P125,000.Case # 2: The partnership earns profit of P9,000.Case # 3: The partnership incurs a loss of P19,000.For items 1-3, refer to Case #11. How much is X's share in the profit/loss?a. P 40,168b. P 40,169c. P 60,170d. P 60,1712. How much is Y's share in the profit/loss?a. P 46,652b. P 46,651c. P 56,653d. P 56,6543. How much is Z's share in the profit/loss?a. P 38,182b. P 38,181c. P…Partner X and Partner Y share profits and losses equally. Partner X and Partner Y receive salary allowances of Php20,000 and Php30,000, respectively, and both partners receive 10% interest on their average capital balances. Total net income for 2021 is Php520,000. If the average capital of Partner X and Partner Y is Php110,000 and Php90,000, what will be the final profit allocations for Partner X in 2021?The partnership agreement of A, B and C stipulates the following: Partners A and C shall receive annual salaries of 12,000 and ₱ 8,000, respectively. A bonus of 10% of profit after salaries but before deduction of bonus shall be given to Partner A, the managing partner. (Deduct the salaries to the profit, as basis for computation) Each partner shall receive 10% interest on average capital investments. Any remaining profit or loss shall be shared as follows: 40% to A and 30% each to B and C. The average capital investments of partners during the year are as follows: A ₱100,000 B 60,000 C 120,000 The partnership earns profit of ₱100,000. Requirement: Compute and explain for the respective shares of the partners on the partnership profit.
- The partnership agreement of A, B and C stipulates the following: Partners A and C shall receive annual salaries of 12,000 and ₱ 8,000, respectively. A bonus of 10% of profit after salaries but before deduction of bonus shall be given to Partner A, the managing partner. (Deduct the salaries to the profit, as basis for computation) Each partner shall receive 10% interest on average capital investments. Any remaining profit or loss shall be shared as follows: 40% to A and 30% each to B and C. The average capital investments of partners during the year are as follows: A ₱100,000 B 60,000 C 120,000 The partnership earns profit of ₱100,000. Requirement: Compute for the respective shares of the partners on the partnership profit.Se and Xy are partners agreeing to allow monthly salaries of P6,000 and P5,000, respectively; 6% interest on the capital investment at the beginning of the year of P300,000 and P230,000, respectively; and the balance equally. The first year registered a profit P100,000. How much should be the share of each partner in the Company's profit?The partnership agreement of X, Y, and Z stipulates the following: Partners Y and Z shall receive annual salaries of P23,000 and P12,000, A bonus of 15% of profit after salaries but before deduction of bonus shall be given to Partner X, the managing Each partner shall receive 11% interest on average capital Any remaining profit or loss shall be shared as follows: 30% to X, and 35% each to Y and The average capital investments of the partners during the year are as follows: X – P125,000; Y – P78,000; and Z – P101,000. Case # 3: The partnership incurs a loss of P19,000. 1. How much is X's share in the profit/loss? a. (P 12,482) c. (P7,494) b. P 976 d. (P 19,000) 2. How much is Y's share in the profit/loss? a. (P 12,482) b. P 976 c. (P7,494) (P 19,000) 3. How much is Z's share in the profit/loss? a. (P 12,482) c. (P7,494) b. P 976 d. (P 19,000)
- The partnership's profit for the year amounted to P440,000. Partner A is entitled to 10% before bonus. What is the bonus that Partner A will receive?Geehan partnership begins its first year of operations with Gee, capital of 160,000 and Han capital of 80,000. According to the partnership agreement, all profits will be distributed as follows: a. Gee will be allowed a monthly salary of P10,000. b. The partners will be allowed with interest equal to 10% of the capital balance as of the first day of the year. c. Gee will be allowed a bonus of 10% of the net income after salaries. d. The remainder will be divided on the basis of 60:40 for the first year and 50:50 for the second year. Assume further, that the partnership generated Net Income of P320,000 for the first year and P200,000 for the second year. 1. What is the share of Han in the net income for the first year? 2. What is the share of Gee in the net income for the first year? 3. How much is the adjusted capital of Gee at the beginning of second year? 4. What is the share of Han in the net income for the second year? 5. What is the share of Gee in the net income for the second…2. Use the following information for the next three cases: The partnership agreement of A, B and C stipulates the following: Partners A and C shall receive annual salaries of P12,000 and P8,000, respectively. DA bonus of 10% of profit after salaries but before deduction of bonus shall be given to Partner A, the managing partner. Each partner shall receive 10% interest on average capital investments. TAny remaining profit or loss shall be shared as follows: 40% to A and 30% each to B and C. The average capital investments of partners during the year are as follows: AP100,000 B 60,000 C 120,000 Case #1: The partnership earns profit of P100,000. Requirement: Compute for the respective shares of the partners on the partnership profit. Case #2: The partnership earns profit of P10,000. Requirement: Compute for the respective shares of the partners on the partnership profit. Case #3: The partnership incurs loss of P20,000. Requirement: Compute for the respective shares of the partners on the…