Beaudry and Clemente share profits and losses on a fractional- share basis with two- fifths for Beaudry and three-fifths for Clemente. This year the firm has a net income of $ 65,000. The beginning Capital balances for the year were $ 90,000 for Beaudry and $ 130,000 for Clemente. The balances of the Drawing accounts are $ 30,000 for Beaudry and $ 24,000 for Clemente. Journalize the entries to close Income Summary and the partners’ Drawing accounts on December 31.
Answer to relevant QuestionsThe partners J. W. Deboer and R. S. Sonnier have agreed to salary allowances of $ 80,000 and $ 92,000, respectively. In addition, they are allowed 9 percent interest on their Capital balances at the beginning of the year. ...R. C. Jones and S. K. Miller are forming a partnership for a beauty salon and plan to work full-time in the salon. Jones will make an initial investment of $ 45,000; Miller, $ 35,000. They are considering the following plans ...Eventually, most sole proprietorships recognize that by combining talent with other individuals in the same industry, their businesses can grow. Many accounting firms such as Maxwell Locke & Ritter LLP start out as sole ...In regard to stock, what is the difference between par value and stated value? Three people—Baker, Adams, and Nelson—organized Dog-Eared Book Shoppe, Inc. The charter of this corporation authorizes capital consisting of the following: a. 2,600 shares of preferred 9 percent stock, $ 50 par value b. ...
Post your question