John Conway, Steve Barrett, and Mary Fitzpatrick invested $3,000, $12,600, and $14,400, respectively. At the end of the first year, the company’s net income was $48,000. Assuming no agreement was reached on how to share net income, prepare a journal entry at closing to allocate net income.
Answer to relevant QuestionsIf the partners in Exercise 2 share net income based on their beginning capital investments, what would be the journal entry at closing to allocate net income?In Exercise 2, John Conway, Steve Barrett, and Mary Fitzpatrick ...From the following, journalize the (a) Sale of assets (b) Loss or gain from liquidation realization. Given:Cash ............. $ 3,350Other Assets .......... 17,000Liabilities ............ 4,900Maxwell, Capital ......... ...A. Langer and B. Sharpless have decided their partnership earnings will be shared as follows: (a) 12% interest allowance on capital balances at beginning of year, (b) With the remainder to be shared equally. Capital balances ...a. The partnership of Carol and Jack began with the partners investing $6,000 and $4,000, respectively. At the end of the first year, the partnership earned net income of $8,200. Under each of the following independent ...On July 10, 201X, Quincy Corporation issued 2,400 shares of common stock with a par value of $104 in exchange for equipment with a fair market value of $328,000. Journalize the appropriate entry.
Post your question