Jill Smith and Heff Tables are forming a partnership, Black Leather Goods, to import merchandise from Ireland.

Question:

Jill Smith and Heff Tables are forming a Black Leather Goods, to import merchandise from Ireland. Smith is especially artistic and will travel to Ireland to buy the merchandise. Tables is a super salesman and has already lined up several department stores to sell the leather goods.
Requirements
1. What is the purpose of the agreement?
2. If the agreement does not state the profit-and-loss-sharing ratios, how will profits or losses be shared?
3. Smith is contributing $135,000 in cash and of $25,000. Tables is contributing a building that cost Tables $105,000. The building's current market value is $135,000. Journalize the contribution of the two partners.
Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive... Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...