Simmon and Torres are forming a partnership, Black Leather Goods, to import merchandise from Spain. Simmon is especially artistic and will travel to Spain to buy the merchandise. Torres is a super salesman and has already lined up several department stores to sell the leather goods. Read the requirements. ... Requirement 1. What is the purpose of the partnership agreement? The purpose of the partnership agreement is to Requirement 2. If the partnership agreement does not state the profit-and-loss-sharing ratios, how will profits or losses be shared? If the partnership agreement does not state the profit-and-loss-sharing ratios, the profits or losses are shared Requirement 3. Simmon is contributing $180,000 in cash and accounts payable of $10,000. Torres is contributing a building that cost Torres $60,000. The building's current market value is $65,000. Journalize the contribution of the two partners. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Begin by journalizing Simmon's investment. Simmon is contributing $180,000 in cash and accounts payable of $10,000. Date Accounts and Explanation Debit Credit Journalize Torres' investment. Torres is contributing a building that cost Torres $60,000. The building's current market value is $65,000. Date Accounts and Explanation Debit Credit Requirement 1. What is the purpose of the partnership agreement? The purpose of the partnership agreement is to Requirement 2. If the partnership agreement dc If the partnership agreement does not state the Requirement 3. Simmon is contributing $180,00 partners. (Record debits first, then credits. Selec Begin by journalizing Simmon's investment. Sim Accounts and Explana.... Date eliminate the unlimited personal liability of the partners. 60,000. T establish the corporate tax rate at which the partnership with be taxed on earnings. increase the partners' understanding of how the business is run. Requirement 2. If the partnership agreement does not state the profit-and-loss-sharing ratios, how will profits or losses be shared? If the partnership agreement does not state the profit-and-loss-sharing ratios, the profits or losses are shared Requirement 3. Simmon is contributing $180,000 in cash and accounts payable of $10,000. Torres is contrib partners. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Begin by journalizing Simmon's investment. Simmon is contributing $180,000 in cash and accounts payable o Date Accounts and Explanation Debit Credit based on each partner's capital balance. based on each partner's investment. based on each partner's service. equally. g's current market value is $65,000. Journalize the contribution of the two Requirement 3. Simmon is contributing $180,000 in cash and accounts pay partners. (Record debits first, then credits. Select the explanation on the last Begin by journalizing Simmon's investment. Simmon is contributing $180,00 Date Accounts and Explanation Debit Accounts Payable Building Journalize Cash Date Income Summary Simmon, Capital Simmon, Withdrawals Torres, Capital Torres, Withdrawals at cost Torr Debit