Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Admitting a New LLC Member With Bonus Alert Medical, uc, consists of two doctors, Abrams and Upscomb, who share in all income and losses according

image text in transcribed
Admitting a New LLC Member With Bonus Alert Medical, uc, consists of two doctors, Abrams and Upscomb, who share in all income and losses according to 2:3 Income-sharing ratio. Dr. Lin has been asked to Join the U.C. Prior to admitting Un, the assets of Alert Medical were revalued to reflect their current market values. The revaluation resulted in medical equipment being Increased by $21,000. Prior to the revaluation, the equity balances for Abrams and Lipscomb were $202,000 and $231,000, respectively. . Provide the journal entry for the asset revaluation. For a compound transaction, if an amount box does not require an entry, leave It blank. b. Provide the journal entry for the bonus under the following independent situations: 1. Lin purchased a 30% interest in Alert Medical, LLC, for $259,000. For a compound transaction, if an amount box does not require an entry, leave it blank. EE 2. Un purchased a 25 interest in Alert Medical, LLC, for $132,000. For a compound transaction, if an amount box does not require an entry, leave it blank

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

For Heintz/parrys College Accounting, Chapters 1-15, 22nd Edition, [instant Access]

Authors: James A. Heintz, Robert W. Parry

22nd Edition

1305669886, 9781305669888

More Books

Students also viewed these Accounting questions