Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Case four: (15 marks) Raft and Barakat organized their partnership on 1/1/2020. The following entries were made into their capital accounts during 2020 Raft Debit

image text in transcribed
Case four: (15 marks) Raft and Barakat organized their partnership on 1/1/2020. The following entries were made into their capital accounts during 2020 Raft Debit Credit Balance 1/1 55,000 55,000 1/6 15,000 70,000 1/10 25,000 95,000 1/12 15,000 80,000 Barakat 1/1 45,000 45,000 1/3 10,000 55,000 1/9 15.000 40,000 1/11 10,000 30,000 1/12 40,000 70,000 If partnership profits for the year equaled $66,000, indicate the allocations between the partners under the following profit-sharing allocation conditions and journalize the required entries: 1) a salary of $15,000 is allocated to Barakat, a $10,000 salary is allocated to Raft. 2) 12% interest on weighted capital is allocated to both partners. 3) A bonus of 20% of partnership profits after (bonus, salary and interest) bonus is credited to Raft. 4) the remainder 30%Raft and 70% Barakat GOOD LUCK

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_2

Step: 3

blur-text-image_3

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

Principles Of Accounting Volume 2 Managerial Accounting

Authors: OpenStax

1st Edition

0357364805, 9780357364802

More Books

Students also viewed these Accounting questions

Question

What problems have I solved? What skills did that show?

Answered: 1 week ago

Question

Explain the various methods of job evaluation

Answered: 1 week ago

Question

Differentiate Personnel Management and Human Resource Management

Answered: 1 week ago

Question

Describe the functions of Human resource management

Answered: 1 week ago

Question

What are the objectives of Human resource planning ?

Answered: 1 week ago

Question

b. Did you suppress any of your anger? Explain.

Answered: 1 week ago