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Anaylsis must be given and also the Law.

- More Info Required 1. Compute the partners' shares of profits and losses under each of the following plans: a. Net loss is $78,500, and the partnership agreement allocates 50 percent of profits to Saho, 25 percent to Schaaf, and 25 percent to Pearle. The agreement does not discuss the sharing of losses. b. Net income for the year is $137,000. The first $80,000 is allocated on the basis of partners' Capital investments. The next $34,500 is based on service, with $4,500 going to Saho and $30,000 going to Schaaf. Any remainder is shared equally C. Net loss for the year is $137,000. The first $80,000 is allocated on the basis of partners' Capital investments. The next $34,500 is based on service, with $4,500 going to Saho and $30,000 going to Schaaf. Any remainder is shared equally. 2. Revenues for the year were $862,000, and expenses were $725,000. Under plan (b), prepare the partnership income statement for the year. Assume a year end of September 30, 2017 3. How will what you leared in this problem help you manage a partnership? Print Done Question 2, Problem 12 HW Score: 0% of 20 ports = Homework: Ch 12 - Partnerships Patos O Points: 0 of 10 Shelto Kann ich nun Peace how formada per uno 100.0 34.000 32.780 Salowi manage the store, we went on date tus Regiment 1. Complete proprio cach of the persisted ter, the local percent of the percorso percent to the words to ang Ce trends (Usein parteses for refons amounts. Come on. For more late, make sure the propriate cu taha chat and Pearl Abocabon of Profits and Los To son to parter Help Me Solve This All parts showing ses g of jake 50 Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and ss. (Pecora will not work in the business. Required rle Loss Normally, partners share profits and assume responsibility for losses in the same proportions. However, that is not always the case. The partnership agreement can specify different percentages for sharing income and aaf assuming losses. In the absence of different percentages for profits and losses, it is assumed that whatever percentages apply for profits also apply for losses. Accordingly, for requirement 1a, we allocate losses in the same proportions as profits. Requirement 1. Compute the partners' shares of profits and losses under each of the plans listed. a. Net loss is $72,500, and the partnership agreement allocates 45 percent of profits to Saad, 40 percent to Sharp, and 15 percent to Pecora. The agreement does not discuss the sharing of losses. As indicated in the discussion above, we will assume the net loss is divided among the partners in the same proportions as profits. Use the table below to determine the amount of loss allocated to each partner. Partner Loss X Allocation ratio = Total loss allocated Saad $ 72,500 = $ 32,625 Sharp $ 72,500 40 % $ 29,000 Pecora $ 72,500 15 % = $ 10,875 Referring to your calculations above, complete the table below to determine the net loss to each partner. (Use parentheses or a minus sign for net loss amounts. Complete all answer boxes. For amounts that are $0, make sure to enter "O" in the appropriate column.) 45 % X Help Me Solve This All parts showing es 50 Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and S. Pecora will not work in the business, Required le oss parentheses or a minus sign for net loss amounts. Complete all answer boxes. For amounts that are $0, make sure to enter "O" in the appropriate column.) aaf Saad, Sharp, and Pecora Allocation of Profits and Losses Saad Sharp Pecora Total (72,500) $ Total (net loss) Allocation to partners: Saad Sharp Pecora (32,625) $ (29,000) (10,875) Total (72,500) 0 Net loss left to allocate Net loss to partners (32,625) (29,000) $ (10,875) $ (72,500) b. Net income for the year is $140,000. The first $90,000 is allocated on the basis of partners' Capital investments. The next $32,000 is based on service, with $2,000 going to Saad and $30,000 going to Sharp. Any remainder is shared equally 11 SS af b. Net income for the year is $140,000. The first $90,000 is allocated on the basis of partners' Capital investments. The next $32,000 is based on service, with $2,000 going to Saad and $30,000 going to Sharp. Any remainder is shared equally, Before we can complete the first portion of the allocation of profits, we must first calculate each partner's share of the first $90,000. Using the table below, calculate each partner's share based on their capital balances. (Hold all decimals in interim calculations. Round your final answers to the nearest whole dollar.) Partner's Capital Total Capital First Partner's Balance Balance X $ 90,000 Share Saad $ 120,750 $ 525,000 X $ 90,000 $ 20,700 Sharp $ 173,250 $ 525,000 X $ 90,000 $ 29,700 Pecora $ 231,000 1$ 525,000 X $ 90,000 $ 39,600 Now enter the distribution for the first portion of net income. (Hold all decimals during calculations. Round the final answer to the nearest whole dollar. Saad, Sharp, and Pecora Allocation of Profits and Losses Saad Sharp Pecora Total $ 140,000 b. Total net income Sharing of first portion based on capital: Saad Sharp 20,700 $ 29,700 Pecora S 39,600 Total 90,000 Next, calculate the second portion of the distribution, Recall that the next $32,000 is based on service, with $2,000 going to Saad and $30,000 going to Sharp. Also calculate the balance to allocate in portion 3. Help Me Solve This | All parts showing Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and (Pecora will not work in the business. Required 12 *** ES Saad, Sharp, and Pecora Allocation of Profits and Losses Saad Sharp Pecora Total $ 140,000 b. Total net income Sharing of first portion based on capital: Saad Sharp Pecora $ 20,700 29,700 $ 39,600 90,000 50,000 Total Net income remaining for allocation Sharing of next portion based on service: Saad Sharp 2,000 30,000 Total 32,000 Net income remaining for allocation 18,000 Finally, calculate the last portion of the distribution. Recall that the remainder is divided equally. This means that the $18,000 is divided by 3 to make an equal distribution between the partners. (Complete all answer boxes. For amounts that are $0, make sure to enter "0" in the appropriate column. Round your final answers to the nearest whole dollar.) Saad, Sharp, and Pecora Allocation of Profits and Losses Help Me Solve This All parts showing Sses go jak s 50 Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and oss. ( Pecora will not work in the business. Required arle AlloCuon UI FTOFTUS ANU LUSSES Loss . Saad Sharp Pecora Total chaaf 140,000 b. Total net income Sharing of first portion based on capital: Saad Sharp Pecora $ 20,700 $ 29,700 CA 39,600 90,000 Total 50,000 Net income remaining for allocation Sharing of next portion based on service: Saad Sharp 2,000 30,000 Total 32,000 18,000 Net income remaining for allocation Remainder shared equally: Saad 6,000 Help Me Solve This All parts showing es ..... 50 Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and s. Pecora will not work in the business. Required le OSS Sharp 30,000 Total 32,000 naf Net income remaining for allocation 18,000 Remainder shared equally: Saad 6,000 Sharp 6,000 Pecora 6,000 Total 18,000 Net income remaining for allocation $ Net income allocated to the partners 28,700 s 65,700 $ 45,600 $ 140,000 c. Net loss for the year is $140,000. The first $90,000 is allocated on the basis of partners' Capital investments. The next $32,000 is based on service, with $2,000 going to Saad and $30,000 going to Sharp. Any remainder is shared equally This situation is the same as situation b., but in this case, we have a net loss. All of our calculations are the same for the sharing of the first $90,000. The difference lies in the totals calculated. The net loss is entered as a negative number, and the first $90,000 allocated is also entered as a negative number and added to the net loss. (Complete all answer boxes. For amounts that are $0, make sure to enter "0" in the appropriate column. Hold all decimals for interim calculations. Round the final answer to the nearest whole dollar.) af Saad, Sharp, and Pecora Allocation of Profits and Losses $ $ Saad Sharp Pecora Total c. Total (net loss) $ (140,000) Sharing of first portion based on capital: Saad 20,700 Sharp 29,700 Pecora 39,600 Total (90,000) || Net loss remaining for allocation (230,000) The next $32,000 is allocated based on service, with $2,000 going to Saad and $30,000 going to Sharp. The entries into the table are the same as situation b., but remember to enter the total $32,000 as a negative number and add this amount to the net income remaining for allocation from step 1. (Complete all answer boxes. For amounts that are $0, make sure to enter "0" in the appropriate column. Hold all decimals for interim calculations. Round the final answer to the nearest whole dollar.) Help Me Solve This All parts showing es 50 Sally Saad Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and 5. Pecora will not work in the business. Required le GO OSS Saad, Sharp, and Pecora Allocation of Profits and Losses af Saad Sharp Pecora Total (140,000) c. Total (net loss) Sharing of first portion based on capital: Saad Sharp Pecora 20,700 $ 29,700 $ 39,600 (90,000) (230,000) Total Net loss remaining for allocation Sharing of next portion based on service: Saad Sharp 2.000 30,000 Total (32,000) Net loss remaining for allocation (262.000) al The final step for part c. is to share any remainder equally between the partners. This is where the full $262,000 is allocated between the partners. Once the full amount is allocated, we can calculate the net loss allocated to each of the partners. (Complete all answer boxes. For amounts that are $0, make sure to enter "O" in the appropriate column. Hold all decimals for interim calculations. Round the final answer to the nearest whole dollar.) Saad, Sharp, and Pecora Allocation of Profits and Losses Saad Sharp Pecora Total C. $ (140,000) Total (net loss) Sharing of first portion based on capital: Saad 20,700 $ 29,700 Sharp Pecora $ 39,600 Total (90,000) $ 29,700 S Sharp Pecora $ 39,600 (90,000) 1 (230,000) 2,000 30,000 Total Net loss remaining for allocation Sharing of next portion based on service: Saad Sharp Total Netloss remaining for allocation Remainder shared equally: Saad Sharp Pecora (32,000) (262,000) (87,333) (87.333) (87.333) 262,000 Total Net loss remaining for allocation $ (64,633) Net loss allocated to the partners (27,633) s (47,733) S (140,000) Requirement 2. Revenues for the year were $865,500, and expenses were $725,500. Under plan (b), prepare the partnership income statement for the year. Assume a year end of September 30, 2017. A partnership income statement is much like the income statement of a proprietorship. The difference is that a partnership income statement shows the division of net income to the partners. First we will calculate the net income on the income statement, Saad, Sharp, and Pecora Income Statement Year ended September 30, 2017 Revenues $ 865,500 Expenses 725,500 $ 140,000 Net income Schaaf Now determine each partner's share of the income by reviewing the allocation of profit table you calculated in requirement "1 b." Add the allocations together to balance with net income. Saad, Sharp, and Pecora Income Statement For the Year Ended September 30, 2017 Revenues $ 865,500 Expenses 725,500 140,000 Net income A Allocation of net income: $ Saad Sharp 28,700 65,700 45,600 Pecora $ 140,000 Total Net income - More Info Required 1. Compute the partners' shares of profits and losses under each of the following plans: a. Net loss is $78,500, and the partnership agreement allocates 50 percent of profits to Saho, 25 percent to Schaaf, and 25 percent to Pearle. The agreement does not discuss the sharing of losses. b. Net income for the year is $137,000. The first $80,000 is allocated on the basis of partners' Capital investments. The next $34,500 is based on service, with $4,500 going to Saho and $30,000 going to Schaaf. Any remainder is shared equally C. Net loss for the year is $137,000. The first $80,000 is allocated on the basis of partners' Capital investments. The next $34,500 is based on service, with $4,500 going to Saho and $30,000 going to Schaaf. Any remainder is shared equally. 2. Revenues for the year were $862,000, and expenses were $725,000. Under plan (b), prepare the partnership income statement for the year. Assume a year end of September 30, 2017 3. How will what you leared in this problem help you manage a partnership? Print Done Question 2, Problem 12 HW Score: 0% of 20 ports = Homework: Ch 12 - Partnerships Patos O Points: 0 of 10 Shelto Kann ich nun Peace how formada per uno 100.0 34.000 32.780 Salowi manage the store, we went on date tus Regiment 1. Complete proprio cach of the persisted ter, the local percent of the percorso percent to the words to ang Ce trends (Usein parteses for refons amounts. Come on. For more late, make sure the propriate cu taha chat and Pearl Abocabon of Profits and Los To son to parter Help Me Solve This All parts showing ses g of jake 50 Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and ss. (Pecora will not work in the business. Required rle Loss Normally, partners share profits and assume responsibility for losses in the same proportions. However, that is not always the case. The partnership agreement can specify different percentages for sharing income and aaf assuming losses. In the absence of different percentages for profits and losses, it is assumed that whatever percentages apply for profits also apply for losses. Accordingly, for requirement 1a, we allocate losses in the same proportions as profits. Requirement 1. Compute the partners' shares of profits and losses under each of the plans listed. a. Net loss is $72,500, and the partnership agreement allocates 45 percent of profits to Saad, 40 percent to Sharp, and 15 percent to Pecora. The agreement does not discuss the sharing of losses. As indicated in the discussion above, we will assume the net loss is divided among the partners in the same proportions as profits. Use the table below to determine the amount of loss allocated to each partner. Partner Loss X Allocation ratio = Total loss allocated Saad $ 72,500 = $ 32,625 Sharp $ 72,500 40 % $ 29,000 Pecora $ 72,500 15 % = $ 10,875 Referring to your calculations above, complete the table below to determine the net loss to each partner. (Use parentheses or a minus sign for net loss amounts. Complete all answer boxes. For amounts that are $0, make sure to enter "O" in the appropriate column.) 45 % X Help Me Solve This All parts showing es 50 Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and S. Pecora will not work in the business, Required le oss parentheses or a minus sign for net loss amounts. Complete all answer boxes. For amounts that are $0, make sure to enter "O" in the appropriate column.) aaf Saad, Sharp, and Pecora Allocation of Profits and Losses Saad Sharp Pecora Total (72,500) $ Total (net loss) Allocation to partners: Saad Sharp Pecora (32,625) $ (29,000) (10,875) Total (72,500) 0 Net loss left to allocate Net loss to partners (32,625) (29,000) $ (10,875) $ (72,500) b. Net income for the year is $140,000. The first $90,000 is allocated on the basis of partners' Capital investments. The next $32,000 is based on service, with $2,000 going to Saad and $30,000 going to Sharp. Any remainder is shared equally 11 SS af b. Net income for the year is $140,000. The first $90,000 is allocated on the basis of partners' Capital investments. The next $32,000 is based on service, with $2,000 going to Saad and $30,000 going to Sharp. Any remainder is shared equally, Before we can complete the first portion of the allocation of profits, we must first calculate each partner's share of the first $90,000. Using the table below, calculate each partner's share based on their capital balances. (Hold all decimals in interim calculations. Round your final answers to the nearest whole dollar.) Partner's Capital Total Capital First Partner's Balance Balance X $ 90,000 Share Saad $ 120,750 $ 525,000 X $ 90,000 $ 20,700 Sharp $ 173,250 $ 525,000 X $ 90,000 $ 29,700 Pecora $ 231,000 1$ 525,000 X $ 90,000 $ 39,600 Now enter the distribution for the first portion of net income. (Hold all decimals during calculations. Round the final answer to the nearest whole dollar. Saad, Sharp, and Pecora Allocation of Profits and Losses Saad Sharp Pecora Total $ 140,000 b. Total net income Sharing of first portion based on capital: Saad Sharp 20,700 $ 29,700 Pecora S 39,600 Total 90,000 Next, calculate the second portion of the distribution, Recall that the next $32,000 is based on service, with $2,000 going to Saad and $30,000 going to Sharp. Also calculate the balance to allocate in portion 3. Help Me Solve This | All parts showing Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and (Pecora will not work in the business. Required 12 *** ES Saad, Sharp, and Pecora Allocation of Profits and Losses Saad Sharp Pecora Total $ 140,000 b. Total net income Sharing of first portion based on capital: Saad Sharp Pecora $ 20,700 29,700 $ 39,600 90,000 50,000 Total Net income remaining for allocation Sharing of next portion based on service: Saad Sharp 2,000 30,000 Total 32,000 Net income remaining for allocation 18,000 Finally, calculate the last portion of the distribution. Recall that the remainder is divided equally. This means that the $18,000 is divided by 3 to make an equal distribution between the partners. (Complete all answer boxes. For amounts that are $0, make sure to enter "0" in the appropriate column. Round your final answers to the nearest whole dollar.) Saad, Sharp, and Pecora Allocation of Profits and Losses Help Me Solve This All parts showing Sses go jak s 50 Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and oss. ( Pecora will not work in the business. Required arle AlloCuon UI FTOFTUS ANU LUSSES Loss . Saad Sharp Pecora Total chaaf 140,000 b. Total net income Sharing of first portion based on capital: Saad Sharp Pecora $ 20,700 $ 29,700 CA 39,600 90,000 Total 50,000 Net income remaining for allocation Sharing of next portion based on service: Saad Sharp 2,000 30,000 Total 32,000 18,000 Net income remaining for allocation Remainder shared equally: Saad 6,000 Help Me Solve This All parts showing es ..... 50 Sally Saad, Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and s. Pecora will not work in the business. Required le OSS Sharp 30,000 Total 32,000 naf Net income remaining for allocation 18,000 Remainder shared equally: Saad 6,000 Sharp 6,000 Pecora 6,000 Total 18,000 Net income remaining for allocation $ Net income allocated to the partners 28,700 s 65,700 $ 45,600 $ 140,000 c. Net loss for the year is $140,000. The first $90,000 is allocated on the basis of partners' Capital investments. The next $32,000 is based on service, with $2,000 going to Saad and $30,000 going to Sharp. Any remainder is shared equally This situation is the same as situation b., but in this case, we have a net loss. All of our calculations are the same for the sharing of the first $90,000. The difference lies in the totals calculated. The net loss is entered as a negative number, and the first $90,000 allocated is also entered as a negative number and added to the net loss. (Complete all answer boxes. For amounts that are $0, make sure to enter "0" in the appropriate column. Hold all decimals for interim calculations. Round the final answer to the nearest whole dollar.) af Saad, Sharp, and Pecora Allocation of Profits and Losses $ $ Saad Sharp Pecora Total c. Total (net loss) $ (140,000) Sharing of first portion based on capital: Saad 20,700 Sharp 29,700 Pecora 39,600 Total (90,000) || Net loss remaining for allocation (230,000) The next $32,000 is allocated based on service, with $2,000 going to Saad and $30,000 going to Sharp. The entries into the table are the same as situation b., but remember to enter the total $32,000 as a negative number and add this amount to the net income remaining for allocation from step 1. (Complete all answer boxes. For amounts that are $0, make sure to enter "0" in the appropriate column. Hold all decimals for interim calculations. Round the final answer to the nearest whole dollar.) Help Me Solve This All parts showing es 50 Sally Saad Kerry Sharp, and Jed Pecora have formed a partnership. Saad invested $120,750, Sharp $173,250, and Pecora $231,000. Saad will manage the store, Sharp will work in the store three-quarters of the time, and 5. Pecora will not work in the business. Required le GO OSS Saad, Sharp, and Pecora Allocation of Profits and Losses af Saad Sharp Pecora Total (140,000) c. Total (net loss) Sharing of first portion based on capital: Saad Sharp Pecora 20,700 $ 29,700 $ 39,600 (90,000) (230,000) Total Net loss remaining for allocation Sharing of next portion based on service: Saad Sharp 2.000 30,000 Total (32,000) Net loss remaining for allocation (262.000) al The final step for part c. is to share any remainder equally between the partners. This is where the full $262,000 is allocated between the partners. Once the full amount is allocated, we can calculate the net loss allocated to each of the partners. (Complete all answer boxes. For amounts that are $0, make sure to enter "O" in the appropriate column. Hold all decimals for interim calculations. Round the final answer to the nearest whole dollar.) Saad, Sharp, and Pecora Allocation of Profits and Losses Saad Sharp Pecora Total C. $ (140,000) Total (net loss) Sharing of first portion based on capital: Saad 20,700 $ 29,700 Sharp Pecora $ 39,600 Total (90,000) $ 29,700 S Sharp Pecora $ 39,600 (90,000) 1 (230,000) 2,000 30,000 Total Net loss remaining for allocation Sharing of next portion based on service: Saad Sharp Total Netloss remaining for allocation Remainder shared equally: Saad Sharp Pecora (32,000) (262,000) (87,333) (87.333) (87.333) 262,000 Total Net loss remaining for allocation $ (64,633) Net loss allocated to the partners (27,633) s (47,733) S (140,000) Requirement 2. Revenues for the year were $865,500, and expenses were $725,500. Under plan (b), prepare the partnership income statement for the year. Assume a year end of September 30, 2017. A partnership income statement is much like the income statement of a proprietorship. The difference is that a partnership income statement shows the division of net income to the partners. First we will calculate the net income on the income statement, Saad, Sharp, and Pecora Income Statement Year ended September 30, 2017 Revenues $ 865,500 Expenses 725,500 $ 140,000 Net income Schaaf Now determine each partner's share of the income by reviewing the allocation of profit table you calculated in requirement "1 b." Add the allocations together to balance with net income. Saad, Sharp, and Pecora Income Statement For the Year Ended September 30, 2017 Revenues $ 865,500 Expenses 725,500 140,000 Net income A Allocation of net income: $ Saad Sharp 28,700 65,700 45,600 Pecora $ 140,000 Total Net income