The ledger of Camila Ramirez and Ping Xue, attorneys-at-law, contains the following accounts and balances after...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The ledger of Camila Ramirez and Ping Xue, attorneys-at-law, contains the following accounts and balances after adjustments have been recorded on December 31, 2012: Ramirez and Xue Trial Balance December 31, 20Y2 Debit Balances 44,100 Credit Balances Cash Accounts Receivable Supplies Land Building Accumulated Depreciation-Building Office Equipment 42,000 1,600 105,000 113,000 65,600 48,300 Accumulated Depreciation-Office Equipment 20,400 Accounts Payable 31,300 Salaries Payable 3,400 Camila Ramirez, Capital 110,000 Camila Ramirez, Drawing 47,300 Ping Xue, Capital Ping Xue, Drawing 63,000 68,300 Professional Fees 375,000 Salary Expense 153,300 Depreciation Expense-Building 15,200 Heating and Lighting Expense 7,600 Depreciation Expense-Office Equipment 4,700 Property Tax Expense 9,500 Supplies Expense 5,500 Miscellaneous Expense 3,300 668,700 668,700 The balance in Xue's capital account includes an additional investment of $11,000 made on May 5, 20Y2. Required: 1. Prepare an income statement for 2012, indicating the division of net income. The partnership agreement provides for salary allowances of $40,000 to Ramirez and $49,000 to Xue, allowances of 10% on each partner's capital balance at the beginning of the fiscal year, and equal division of the remaining net income or net loss. Operating expenses: Total operating expenses Division of net income: Salary allowance Interest allowance Remaining income (loss) Net income 2. Ramirez and Xue Income Statement For the Year Ended December 31, 20Y2 Ramirez and Xue Division of Income For the Year Ended December 31, 20Y2 Camila Ramirez $ Ping Xue Total Prepare a statement of partnership equity for 20Y2. If any amounts are zero, enter in "0". Balances, January 1, 20Y2 Additional investment by partner Net income for the year Partner withdrawals Balances, December 31, 20Y2 Ramirez and Xue Statement of Partnership Equity For the Year Ended December 31, 20Y2 Camila Ramirez 3. Prepare a balance sheet as of the end of 20Y2. Assets Current assets: Total current assets Property, plant, and equipment: Total property, plant, and equip. Total assets Current liabilities: Total liabilities Liabilities Partners' Equity Total partners' equity Total liabilities and partners' equity Ramirez and Xue Balance Sheet December 31, 20Y2 Ping Xue Total The ledger of Camila Ramirez and Ping Xue, attorneys-at-law, contains the following accounts and balances after adjustments have been recorded on December 31, 2012: Ramirez and Xue Trial Balance December 31, 20Y2 Debit Balances 44,100 Credit Balances Cash Accounts Receivable Supplies Land Building Accumulated Depreciation-Building Office Equipment 42,000 1,600 105,000 113,000 65,600 48,300 Accumulated Depreciation-Office Equipment 20,400 Accounts Payable 31,300 Salaries Payable 3,400 Camila Ramirez, Capital 110,000 Camila Ramirez, Drawing 47,300 Ping Xue, Capital Ping Xue, Drawing 63,000 68,300 Professional Fees 375,000 Salary Expense 153,300 Depreciation Expense-Building 15,200 Heating and Lighting Expense 7,600 Depreciation Expense-Office Equipment 4,700 Property Tax Expense 9,500 Supplies Expense 5,500 Miscellaneous Expense 3,300 668,700 668,700 The balance in Xue's capital account includes an additional investment of $11,000 made on May 5, 20Y2. Required: 1. Prepare an income statement for 2012, indicating the division of net income. The partnership agreement provides for salary allowances of $40,000 to Ramirez and $49,000 to Xue, allowances of 10% on each partner's capital balance at the beginning of the fiscal year, and equal division of the remaining net income or net loss. Operating expenses: Total operating expenses Division of net income: Salary allowance Interest allowance Remaining income (loss) Net income 2. Ramirez and Xue Income Statement For the Year Ended December 31, 20Y2 Ramirez and Xue Division of Income For the Year Ended December 31, 20Y2 Camila Ramirez $ Ping Xue Total Prepare a statement of partnership equity for 20Y2. If any amounts are zero, enter in "0". Balances, January 1, 20Y2 Additional investment by partner Net income for the year Partner withdrawals Balances, December 31, 20Y2 Ramirez and Xue Statement of Partnership Equity For the Year Ended December 31, 20Y2 Camila Ramirez 3. Prepare a balance sheet as of the end of 20Y2. Assets Current assets: Total current assets Property, plant, and equipment: Total property, plant, and equip. Total assets Current liabilities: Total liabilities Liabilities Partners' Equity Total partners' equity Total liabilities and partners' equity Ramirez and Xue Balance Sheet December 31, 20Y2 Ping Xue Total
Expert Answer:
Related Book For
Accounting
ISBN: 978-1285743615
26th edition
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
Posted Date:
Students also viewed these accounting questions
-
Suppose a 14 year, 5%, semiannual coupon bond with a par value of $1000 is currently selling for $1110. The bond can be called in another 3 years for $1075. What is the bonds yield to call?
-
The ledger of Camila Ramirez and Ping Xue, attorneys-at-law, contains the following accounts and balances after adjustments have been recorded on December 31, 2016: The balance in Xue's capital...
-
Identify and describe a time (that you would be comfortable sharing for the purposes of this assignment) when you faced a challenge in a friendship, like a betrayal or geographic distance.
-
A magnetically levitated high-speed train "flies" on an air gap above its rail system, as shown in Figure AP7.2(a) [24]. The air gap control system has a unity feedback system with a loop transfer...
-
this system brings. What narrative should we craft to elevate our market presence and entice a broader clientele? Reflect on the messaging that aligns with our commitment to wellness. Additionally,...
-
FIFO, LIFO, and Average Cost Determination LoBianco Company's record of transactions for the month of April was as follows. (a) Assuming that periodic inventory records are kept, compute the...
-
1. Explain briefly how a company's change in NWC is negative in a given period. What about net capital spending? Explain. 2. . What is free cash flow? Why is free cash flow necessary for the company?...
-
The Jones Company has decided to undertake a large project. Consequently, there is a need for additional funds. The financial manager plans to issue preferred stock with a perpetual annual dividend...
-
When starting a study of the purchasing and supply management functions, it is important for us to recognize the real world importance of this activity in the success of companies. Fortunately, there...
-
The "average" employee at your company makes $50,000 in annual salary. The CEO is coming to you, the HR Manager, to discuss pay increases. He gives you two choices: (a) everyone receives a $5,000...
-
When Jack joined ABC inc at the age of 28, he also joined their defined benefit pension plan. The plan has a normal retirement age of 60 and a qualifying factor of 85. Jack wants to know the earliest...
-
When a RACI matrix is being created, what person or group of people are assign an R for responsible?
-
When a patient who cannot read is required to sign a consent form, you will need to explain the procedure to both the patient and a family member or the patients legal guardian or representative. The...
-
Is it beneficial for businesses large or small to invest in cloud computing ? emphasis/detail (where are you going with this) with different options available to access data and software applications...
-
What is master production scheduling and how is it done?
-
Which of the following will not be reported in the statement of cash flows? a. The net change in plant assets during the year. b. Cash payments for plant assets during the year. c. Cash receipts from...
-
Travis Mordica asks, Since share dividends dont change anything, why declare them? What is your answer to Travis?
-
The equity section of Atrio Ltd. showed the following: share premium 6,101, share capitalordinary 925, share capitalpreference 58, retained earnings 7,420, and treasury shares 2,828. (All amounts are...
Study smarter with the SolutionInn App