25A- 1.Compute the partners shares of profits and losses under each of the following plans:

a) Net loss for the year ended September 30, 2019, is $45,000, and the partnership agreement allocates 50% of profits to Art, 40% to Bryce, and 10% to Chad. The agreement does not discuss sharing of losses.

b) Net income for the year ended September 30, 2019, is $98,000. The first $35,000 is allocated based on relative partner capital balances. The next $27,000 is based on services, with $17,000 going to Art and $10,000 going to Bryce. Any remainder is shared equally.

2. Using plan b, prepare the partnership statement of partners equity for the year ended September 30, 2019. Assume Art, Bryce, and Chad each withdrew $6,000 from the partnership during the year.

26A- Journalize the admission of Thorton as a partner on July 31 for each of the following independent situations:

a) Thorton contributes $87,000 to the partnership, acquiring a 1/4 interest in the business.

b) Thorton pays Lincoln $174,000 cash to purchase Lincolns interest.

c) Thorton contributes $87,000 to the partnership, acquiring a 1/3 interest in the business.

d) Thorton contributes $87,000 to the partnership, acquiring a 1/6 interest in the business.

27A- Record Hos withdrawal from the partnership under the following independent plans:

a) In a personal transaction, Ho sells her equity to Wei, who pays Ho $120,000 for her interest. Kim and Ling agree to accept Wei as a partner.

b) The partnership pays Ho $65,000 for her book equity.

c) The partnership pays Ho $25,000 for her book equity.

d) The partnership pays Ho cash of $10,000 and gives her a note payable for the remainder of her book equity in settlement of her partnership interest.

29A-

a) Prepare the June 30 entries to close the revenue, expense, income summary, and withdrawal accounts.

b) Open each partners capital T-account with the adjusted balance, post the closing entries to their accounts, and determine each partners ending capital balance.

c) Prepare the June 30 entries to liquidate the partnership assuming the non-cash assets are sold for $111,000.