First of 2.....

1.The partnership of Hill, Henderson, and Haddock allocates partnership profit based on each partners investment in the partnership. Hill contributed $60,000. Henderson contributed a building that cost him $30,000 with a fair market value of $50,000 and $10,000 in cash. Haddock contributed equipment that cost him $100,000 with a fair market value of $65,000 and $15,000 in cash. The partnership reported $75,000 of income in 20X3. How much did Haddocks capital account increase due to this income? (Points : 20)

$25,000 $40,116 $30,000 $8,824

Question 2.2.In the absence of a partnership agreement, profits and losses are usually split ________. (Points : 20)

based on each partners investment based on each partners service based on a combination of each partners investment and service equally amongst partners

Question 3.3.When a loss on the sale of assets occurs in a liquidation, each of the partners capital accounts is ________. (Points : 20)

debited for the amount of the loss according to the partners profit-and-loss sharing ratio credited for the amount of the loss according to the partners profit-and-loss sharing ratio debited for the amount of the loss according to the partners capital accounts credited for the amount of the loss according to the partners capital accounts

Question 4.4.If any cash is available after the partnership pays off its liabilities, cash is distributed to partners ________. (Points : 20)

equally according to the value of the services they provided to the partnership according to their profit-and-loss sharing ratio according to their capital balances

Question 5.5.A(n) ________ has unlimited liability. (Points : 20)

corporation general partnership LLC S-Corporation