Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On April 1, 2019, Guy Comeau and Amelie Lavoi formed a partnership in Ontario. Contribution Profit sharing Comeau Lavoi $298,000 cash $200,000 land $138,000 building

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

On April 1, 2019, Guy Comeau and Amelie Lavoi formed a partnership in Ontario. Contribution Profit sharing Comeau Lavoi $298,000 cash $200,000 land $138,000 building $168,000 salary allowance 5% of original 5% of original capital investments capital investments 40% of remaining 60% of remaining $118,000 Cash withdrawal March 20, 2020 Net Income during the year was $560,000 and was in the Income Summary account. On April 1, 2020 Travis Roberts invested $138,000 and was admitted to the partnership for a 20% interest in equity. Required: 1. Prepare journal entries for the following dates. a. April 1, 2019 View transaction list View journal entry worksheet General Journal Debit Credit No 1 Date April 01, 2019 Cash Building Land Guy Comeau, capital Amelie Lavoi, capital 298,000 138,000 200,000 298,000 338,000 View transaction list Journal entry worksheet 1 > Record the withdrawal by partner. Note: Enter debits before credits. Credit Date General Journal Mar 20, 2020 Amelie Lavoi, withdrawals Cash Debit 118,000 118,000 Record entry Clear entry View general journal c. March 31, 2020 View transaction list Journal entry worksheet Record the closing of profit to capital. Note: Enter debits before credits. General Journal Debit Credit Date Mar 31, 2020 Record entry Clear entry View general journal d. April 1, 2020 View transaction list Journal entry worksheet Record the admission of Wilems for a 20% interest. Note: Enter debits before credits. General Journal Debit Credit Date April 01, 2020 Record entry Clear entry View general journal 2. Calculate the balance in each partner's capital account immediately after the April 1, 2020, entry. Comeau, capital Lavoi, capital Roberts, capital

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

Step: 3

blur-text-image

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

Advanced Accounting

Authors: Debra C. Jeter, Paul Chaney

2nd Edition

0471218529, 978-0471218524

More Books

Students also viewed these Accounting questions

Question

Explain what makes the structure of the human language so unique

Answered: 1 week ago

Question

Compare and contrast large and small power distance cultures

Answered: 1 week ago