Dividing Partnership Income Tyler Hawes and Piper Albright formed a partnership, investing $210,000 and 570,000, respectively. Determine their participation in the year's net income of $290,000 under each of the following independent assumption a. No agreement concerning division of net income b. Divided in the ratio of original capital investment. c. Interest at the rate of 5% allowed on original investments and the remainder divided in the ratio of 2:3 d. Salary allowances of $36,000 and $45,000, respectively, and the balance divided equally, e. Allowance of interest at the rate of 5% on original investments, salary allowances of $36,000 and $45,000, respectively, and the remainder divided quality Hawes Albright (a) (b) IIIII (d) Admitting New Partner who contributes After the tange netve been used to current market prices, the capital accounts of Brad Paulson and Drew Webster nave banco 45.000 160,000, they to be mind to the port conting $30,000 cath to the partnershie, for which he is to receive an ownership of $3,000 Martens sein wome Journal the entry to read the son of out, who is to receive a bonus of $5.000. For a compounds and more ca Brad Paulson, Capital .. Drew Webster, Capital 0000 0000 Austin Neel, Capital Check My Wor Record the cash contribution and create the new partners uity Account for the whity redire the old pray count for the hero win b. What are the capital balances of each partner after the admission of the new partner? Partner Balance Brad Paulson Drew Webster Austin Neel Admitting New Partner with florus Cody Jenkins and Lacey Tanner formed a partnership to provide landscaping service Jenkins and tanner shared profits and losses only. After all the tangible assets have been add current market prices, the capital accounts of Cody Jenkins and Lacey Tanner have balances of $78,000 and $48,000, respectively. Valerta som has expertise within the computer to prepare and cape design, cost estimates, and renderings Jenisins and Tannar dvem se sus thus, Sanois admitted to the parts were for a purchase orice $32,000 Determine the recipient and amount of the partner bonus. Valeria Solano Faeda Check My W b. Provide the journal entry to admit Solano into the partnership For a compound transaction, if an amount box does not require an entry, leave it bank Cash Cody Jenkins, Capital 1000 1110 Lacey Tanner, Capital Valeria Solano, Capital Feedback Total Members Equity LON, Statement of Members' Equity For the Year Ended December 31, 2013 and 2014 Idaho Silver Properties, Streams, Thomas LLC LLC Dunn, Member Member Member Equity Equity Equity Members' equity, January 1, 2013 $273,000 $307,000 Net Income 57,000 133,000 Members' equity, December 31, 2013 $330,000 $440,000 Dunn contribution, January 1, 2014 3,000 7,000 $220,000 Net Income 62,500 137,500 50,000 Member withdrawals (32,000) (48,000) (40,000) Members' equity, December 31, 2014 $363,500 $536,500 $230,000 $580,000 190,000 $770,000 230,000 250,000 (120,000) $1,130,000 a. What was the income-sharing ratio in 20Y37 Enter the percentage per member and then select the ratio. Idaho Properties, LLC 96 Silver Streams, LLC % Ratio 3:7 b. What was the income-sharing ratio in 20Y47 Enter the percentage per member and then select the ratio. % Idaho Properties, LLC Silver Streams, LLC % % Thomas Dunn Ratio 2.5:5.5:2 C. How much cash did Thomas Dunn contribute to Bonanza, LLC, for his interest? d. Why do the member equity accounts of Idaho Properties, LLC, and Silver Streams, LLC, have positive entries for Thomas Dunn's contribution? The positive entries to Idaho Properties and Silver Streams are the result of a bonus paid by Thomas Dunn. e. What percentage interest of Bonanza did Thomas Dunn acquire? % Why are withdrawals less than net income? Vithdrawals will be less when the members wish to retain capital in the business to support business growth
