. Which of the following is a characteristic of a general partnership?

a . The partners have co-ownership of partnership property. b. The partnership is subject to federal income tax c. the partnership has unlimited life d. The partners have limited liability

2. As part of the initial investment, Ray Blake contributed equipment that had originally cost $125,000 and on which accumulated depreciation of $100.000 had been recorded. If similar equipment would cost $150,000 to replace and the partners agree on a valuation of $29,000 for the contributed equipment, what amount should be debited from the equipment account? a. $29,000 b. $150,000

c. $125.000

d. $100.000

3. Jordon and Heidi share income equally. For the current year, the partnership net income is $40,000 Jordon made withdrawals of$14,000, and Heidi made withdrawals of $15,000. At the beginning of the year, the capital account balances were: Jordon, Capital, $40,000; Heidi, Capital, $58,000. Jordon's capital account balance at the end of the year is .a $68,000 b. $54.000 c. $74,000 d. $46.000

4. A ratio of 4:2:1 is the same as

a. 40%:20%:10% b. 4/7:2/7:1/7 c. 4/10:2/10:1/20

d. 7/4:7/2:7/1

5. If there is no written agreement as to the way income will be divided among partners, a. They will share income and losses equally b. they will share income and losses according to their capital balances c. they will share income and losses according to the time devoted to the business d. there really is no partnership agreement

6. Stockholders' equity .a is usually equal to cash on hand b. includes paid-in capital and liabilities .c includes retained earnings and paid-in capital d. is shown on the income statement

.7 Nebraska Inc. issues 3,000 shares of common stock for $45,000. The stock has a stated value of$10 per share. The journal entry to record the stock issuance would include a credit to Common Stock for a. $30,000 b. $45.000 c. $15,000 d. $3.000