Jenn Smith and Mike Yang had a partnership and shared incomes and losses based on an agreement that gave Jenn a salary allowance of $115,000 and Mike $90,000 with any unallocated income (loss) shared 3:2. Prepare the entry to close the Income Summary account at December 31, 2014, assuming a debit balance of $80,000.
Answer to relevant QuestionsRamos and Briley are equal partners, with $30,000 in each of their partnership capital accounts. Fontaine is admitted to the partnership on October 1, 2014, after paying $30,000 to the partnership for a one-third interest. ...Oliver, Peter, and Wendell are partners in NewTech Company. Their capital balances are $30,000, $22,000, and $15,000 respectively on November 23, 2014. They share income and losses in the ratio of 3:2:1. Peter retires on ...Debra and Glen are partners who agree that Debra will receive a $100,000 salary allowance after which remaining incomes or losses will be shared equally. If Glen’s capital account is credited $8,000 as his share of the net ...Dallas and Weiss began a partnership by investing $115,000 and $135,000, respectively. During its first year, the partnership recorded net income of $394,000.RequiredPrepare calculations showing how the income should be ...Zeller, Acker, and Benton are partners with capital balances as follows: Zeller, $84,000; Acker, $69,000; and Benton, $147,000. The partners share incomes and losses in a 3:2:5 ratios. Dent is admitted to the partnership on ...
Post your question