Before you begin, print out all the pages in this workbook. Part A (2019) Partnership A, B, and C is a law firm. You have been engaged as accountant to prepare financial statements for the year ended December 31, 2019. The partnership's trial balance is shown on the "2019 Tr. Bal." page (see tab below). 'Salary expenses' listed on the trial balance are each partners' withdrawals for the year. Partnership profits are allocated based first on salaries, then on interest on opening capital balances, then on a fixed ratio. Salary allocation amounts are: A $130,000 B $190,000 C $160,000 Opening capital balances are: A $80,000 B $60,000 C $60,000 Interest rate is: 4% The fixed ratio is: A 2 B 3 C 5 Required 1 Prepare year-end adjusting entries. No descriptions are necessary. 2 Allocate partnership profit or loss to each partner. Prepare the necessary adjusting entry. 3 Post the adjusting entries and complete the trial balance. 4 Prepare an income statement and statement of partners' capital for the year ended December 31, 2019 and a balance sheet at December 31. Part B (2020) a. On December 31, 2020 new partner D invests other assets into the partnership for a one-quarter ownership interest. An equal amount of capital is contributed by A, B, and C to make up the difference. At December 31, 2020, the partners' capital balances are as follows: A $170,000 B 160,000 C 140,000 $470,000 Fair value of other assets from D $90,000 b. Immediately after this, partner C withdraws from the partnership. She is paid in cash the balance in her capital account plus a bonus, contributed equally from the capital balances of A, B, and D. Bonus paid to C $13,000 Required 5 Prepare necessary adjusting entries at December 31, 2020 to record the admission of partner D and the withdrawal of partner C. Show all calculations. Part C (2021 and 2022) The trial balance of A, B, and D at December 31, 2021 after all adjustments have been made is as follows: Adjusted Balances Account Title Debit Credit Cash 39,000 Other Assets 80,000 Accounts Payable 100,000 A, Capital 1,000 B, Capital 9,000 C, Capital 9,000 119,000 119,000 On January 1, 2022 the partnership is liquidated. Other assets are sold for: $32,000 Gains and losses are liquidated in a ratio of: A 4 B 5 D 1 Required 6 Print out the "Part. Liqu." page (see tab below). Complete the schedule. Assume any partner deficiency (debit balance) is repaid with cash by the applicable partner. 7 Prepare the journal entries to record the liquidation.

VIDAL Alignmel COULDNT VERIFY SUBSCRIPTION Excel couldn't verify your Microsoft 365 subs T13 X 2 3 1 BCD Partnership A, B, and is a law firm. You have been engaged as accountant to prepare financial statements for the year ended December 31, 2019, 5 6 The partnership's trial balance is shown on the "2019 Tr. Bal." page (see tab below). "Salary expenses' listed on the trial balance are each partners' withdrawals for the year. 7 Partnership profits are allocated based first on salaries, then on interest on opening capital balances, then on a fixed ratio. 8 9 10 11 12 13 14 Salary allocation amounts are: A $100,000 B $100,000 C $160,000 15 16 17 18 18 20 Opening capital balances are: $70,000 B $60,000 $70,000 interest rate is 5% 21 22 23 The fixed ratio is: A 8 24 25 26 27 28 23 30 Required 1 Prepare year end adjusting entries. No descriptions are necessary 2 Allocate partnership profit or loss to each partner Prepare the necessary adjusting entry 3 Post the adjusting entries and complete the trial balance 32 33 34 35 36 4 Prepare an income statement and statement at patres capital for the year ended December 31, 2019 and a balance sheet December 31 Requ. 1 to 4 Requis Requ. 6 to 7 Gen. unl. Alloc. o Type here to search Paste BIU-1B-QA- EEEE E Merge & Center $ Clipboard Font Alignment I COULDNT VERIFY SUBSCRIPTION Excel couldn't verify your Microsoft 365 subscription. Please make sure that R6 fo A B CT DE F H - K M Part B (2020) 1 2 3 4 5 6 7 a. On December 31, 2020 new partner D invests other assets into the partnership for a one- quarter ownership interest. An equal amount of capital is contributed by A, B, and C to make up the difference. At December 31, 2020, the partners' capital balances are as follows: A $200,000 180,000 190,000 $ 570,000 8 9 10 Fair value of other assets from D $50,000 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 b. Immediately after this, partner C withdraws from the partnership. She is paid in cash the balance in her capital account plus a bonus, contributed equally from the capital balances of A, B, and D. Bonus paid to CS 18,000 Required 5 Prepare necessary adjusting entries at December 31, 2020 to record the admission of partner D and the withdrawal of partner C. Show all calculations. Requ. 1 to 4 Requ. 5 Requ. 6 to 7 Gen. Jnl. Alloc. Trial Bal. Fcl. Stmts. Type here to search O gi 2 Calibri 12 ' ' = = = 9 a Wrap Text General Paste BIU A + Merge & Center $ % 9 Clipboard Font Alignment Number COULDNT VERIFY SUBSCRIPTION Excel couldn't verify your Microsoft 365 subscription. Please make sure that you're com N10 X IK 4 B | C | D E F H 2 Part B (2020) 3 4 a. On December 31, 2020 new partner D invests other assets into the partnership for a one- 5 quarter ownership interest. An equal amount of capital is contributed by A, B, and to make 6 up the difference. At December 31, 2020, the partners' capital balances are as follows: 7 $200,000 8 B 180,000 9 190,000 10 $570,000 11 12 Fair value of other 13 assets from D $50,000 14 b. Immediately after this, partner withdraws from the partnership. She is paid in cash the balance in her capital account plus a bonus, contributed equally from the capital balances of A, B, and D. Bonus paid to C $ 18,000 15 16 17 18 19 20 21 22 23 24 Required Prepare necessary adjusting entries at December 31, 2020 to record the admission of partner D and the withdrawal of partner C. Show all calculations. Requ. 1 to 4 Requ. 5 Requ. 6 to 7 Gen. Jnl. Alloc. Alloc. Trial Bal. Fcl. Stmts. Part. Lic + Type here to search DI + New Window : Options @ New U PH Sheet View Default Keep Exit D15 fx =RANDBETWEEN(10,20)* 10000 E H F G 1 J L A K B Before you begin, print out all the pages in this workbook. 1 2 3 Part A (2019) 4 5 Partnership A, B, and C is a law firm. You have been engaged as accountant to prepare financial statements for the year ended December 31, 2019. 6 7 8 9 The partnership's trial balance is shown on the 2019 Tr. Bal." page (see tab below). 'Salary expenses' listed on the trial balance are each partners' withdrawals for the year To try a pr Formula the m 10 11 Partnership profits are allocated based first on salaries, then on interest on opening capital balances, then on a fixed ratio. 12 press 13 14 15 Salary allocation amounts are: A $120,000 B $120,000 $130,000 16 17 18 19 Onening canital halances are 4 Requ. 1 to 4 Requ. 1 to 4 Requ. 5 Requ. 6 to 7 Gen. Jnl. Alloc. Trial Bal. Calculation Mode: Automatic Workbook Statistics Type here to search O Sheet View Default Keep Exit New : Options New D36 fa B C D E F G H J 19 20 21 Opening capital balances are: A $80,000 B $50,000 $90,000 Interest rate is: 9% 22 23 24 25 The fixed ratio is: 26 A 1 27 B 4 28 5 29 30 Required 1 Prepare year-end adjusting entries. No descriptions are necessary. 31 32 33 34 35 36 2 Allocate partnership profit or loss to each partner. Prepare the necessary adjusting entry. 3 Post the adjusting entries and complete the trial balance. Requ. 1 to 4 Requ. 1 to 4 Requ. 5 Requ. 6 to 7 Gen. Jni. Alloc. Calculation Mode: Automatic Workbook Statistics Type here to search O e File Home Insert Formulas Data Review View Help Open in Deskto Sheet View Default H Keep Exit New Options New Win D42 fir A B D E F G H J K 24 25 The fixed ratio is: 26 1 27 B 4 5 Required 1 Prepare year-end adjusting entries. No descriptions are necessary. 28 29 30 31 32 33 34 35 36 37 2 Allocate partnership profit or loss to each partner. Prepare the necessary adjusting entry. 3 Post the adjusting entries and complete the trial balance. 4 Prepare an income statement and statement of partners' capital for the year ended December 31, 2019 and a balance sheet at December 31 38 39 40 41 42 Regu, 1 to 4 Requ. 1 to 4 Requ. 5 Requ. 6 to 7 Gen.nl Alloc Trial Calculation Mode: Automatic Workbook Statistics Type here to search e w