David, Chris and John formed a partnership on July31, 2019. They decided to share profitsequally, but inserted a clause in the partnership agreement where any losses would be allocated in the ratio of5:2:3, respectively. For the year ended December31, 2019, the firm earned a net income of$50,000. However, for the year ended December31, 2020, the firm incurred a loss of$60,000. Assuming that John had an initial capital contribution of$43,000 and made nowithdrawals, what is the balance ofJohn's Capital account as of December31, 2020?(Assume that none of the partners made any further contributions to their capital accounts. Do not round any percentage calculations. Round all monetary calculations to the nearestdollar.)

A.$59,667

B.$43,000

C.$44,333

D.$41,667

Nancy and Betty enter into a partnership agreement where they decide to share profits according to the followingrules:

(a) Nancy and Betty will receive salaries of $1,200 and $14,500 respectively as the first allocation.

(b) The next allocation is based on 10% of eachpartner's capital balances.

(c) Any remaining profit or loss is to be allocated completely to Betty.

Thepartnership's net income for the first year is $40,000. Nancy's capital balance is $86,000 andBetty's capital balance is $9,000 at the end of the year. Calculate the share ofprofit/loss to be allocated to Betty.

A.$8,900

B.$950

C.$30,200

D.$ 9,800

Bill and Bob share profits of their partnership in the ratio of6:1 respectively. If the net income of the firm is$29,000, calculateBill's share of net income.(Do not round any intermediatecalculations.)

A.$20,714

B.$29,000

C.$24,857

D.$4,143

Floyd and Merriam start a partnership business on June12, 2019. Their capital account balances as of December31, 2020 stood asfollows:

Floyd $46,000

Merriam $20 ,000

They agreed to admit Ramelow into the business for a onefifth interest in the new partnership. Ramelow contributes $32,000 cash in exchange for the partnership interest. Assume that Floyd and Merriam shared profits and ratio before the admission of Ramelow. Which of the following is the correct journal entry to record the aboveadmission?

losses in a 3:1

A. Cash 32,000

Ramelow, Capital 32,000

B.

Cash

32,000

Merriam, Capital

12,400

Floyd, Capital

19,600

C.

Merriam, Capital

19,600

Floyd, Capital

12,400

Ramelow, Capital

32,000

D.

Cash

32,000

Floyd, Capital

9,300

Merriam, Capital

3,100

Ramelow, Capital

19,600

Liquidation in a partnership refers to________.

A.increasing the investment in highly liquid assets

B.the admission or withdrawal of a partner that dissolves the partnership

C.shutting down the business by selling its assets and paying its liabilities

D.purchase of another partnership firm which is operating in the same business