Howe and Duley’s company is organized as a partnership. At the prior year- end, partnership equity totaled $150,000 ($100,000 from Howe and $50,000 from Duley). For the current year, partnership net income is $24,990 ($20,040 allocated to Howe and $4,950 allocated to Duley), and year- end total partnership equity is $200,000 ($140,000 from Howe and $60,000 from Duley). Compute the total partnership return on equity and the individual partner return on equity ratios.
Answer to relevant QuestionsNext to the following list of eight characteristics of business organizations, enter a brief description of how each characteristic applies to general partnerships.Characteristic Application to General Partnerships ...Refer to KTM’s balance sheet in Appendix A. How does its cash (titled “liquid assets”) compare with its other current assets (both in amount and percent) as of December 31, 2011? Compare and assess its cash at December ...Franco Company is a rapidly growing start-up business. Its recordkeeper, who was hired six months ago, left town after the company’s manager discovered that a large sum of money had disappeared over the past three months. ...Piere Imports uses the perpetual system in accounting for merchandise inventory and had the following transactions during the month of October. Prepare entries to record these transactions assuming that Piere Imports records ...Rugged Sports Enterprises LP is organized as a limited partnership consisting of two individual partners: Hockey LP and Football LP. Both partners separately operate a minor league hockey team and a semipro football team. ...
Post your question