Basem, Tamer and Sameer are partners in a partnership firm sharing profits and losses on the basis of 40:35:25 respectively and their capital balances are $100,000, $80,000& $40,000 respectively. The journal entry for the admission of Maher by making an investment of $100,000 with 30% ownership interest is:

a.

Debit each of Maher capital 30,000, Basem Capital 28,000, Tamer capital 24,500 and Sameer capital 17,500 and credit Cash 100,000

b.

Debit each of Maher capital, 96,000, Basem Capital 1,600, Tamer capital 1,400 and Sameer capital 1,000 and credit Cash 100,000

c.

Debit Cash 100,000 and credit each of Maher capital 96,000, Basem Capital 1,600, Tamer capital 1,400 and Sameer capital 1,000

d.

Debit Cash 100,000 and credit Maher capital 100,000

Which of the following is usually not a current liability?

a.

Interest payable

b.

Wages payable

c.

Current portion of long term liability

d.

Mortgage Liability

Alex, Bob, and Ciara are partners, sharing income 2:1:2 respectively. After selling all of the assets for cash, dividing gains and losses on realization, and paying liabilities, the balances in the capital accounts are as follows: Alex, $10,000 Cr; Bob, $10,000 Cr; and Ciara, $30,000 Cr. How much cash should be distributed to Alex?

a.

$16,667

b.

$6,000

c.

$10,000

d.

$20,000

Partners Gary and Elaine have agreed to share profits and losses in an 80:20 ratio respectively, after Gary is allowed a salary allowance of $30,000 and Elaine is allowed a salary allowance of $15,000. If the partnership had net income of $30,000 for 2017, Elaines share of the income would be

a.

$3,000

b.

$18,000

c.

$15,000

d.

$12,000