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1 year ago

Record the entry to close the income summary assuming the partners agree to use plan c and net income is $460,500

Business

1 answer:

slava [35]1 year ago

4 0

The entry is record in book as

Date Particular L.F. Dr. Amt. Cr. Amt.

Income summary a/c $460,500

To Mo a/c $69,300

To Lu a/c $269,500

To Barb a/c $431,200

What is net income?

The total amount of firm profit after deducting all taxes, costs, and interest is referred to as "net income."

Particulars Mo Lu Barb

Capital invested $69,300 $269,500 $431,200

Profit sharing ratio 20/100 40/100 40/100

Profit ($460,500) 92100 184200 184200

As a result, Mo is 92100; Lu is 184200; Barb is 184200 as profit.

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Soloha48 [4]

Answer:

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Explanation:

To break-even means making sales where the proceeds from sales transactions equal the amount of total costs incurred,hence no gain no loss situation.

Break-even point in units=fixed cost/contribution per unit

fixed costs incurred is $8,400

contribution per unit=selling price per unit -variable cost per unit

selling price is $28

variable cost is $16.80

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break-even in units =$6,800/$11.2 0=607 units

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2 years ago

You own a building that has four possible uses: a cafe, a craft store, a hardware store, and a bookstore. The value of the build

Svetlanka [38]

Answer:

The opportunity cost = $2.5

Explanation:

Given:

You own a building that has four possible uses: a cafe, a craft store, a hardware store, and a bookstore. The value of the building in each use is $2,000; $3,000; $4,000; and $5,000, respectively.You decide to open a hardware store.

Question asked:

The opportunity cost of using this building for a hardware store ?

Solution:

As we know:

$Opportunity\ cost =\frac{What\ you\ sacrifice}{What\ you\ gain} \\ \\$

What you sacrifice = Value of a cafe + Value of a craft store + Value of a bookstore

= $2000 + $3000 + $5000 = $10,000

What you gain = Value of a hardware store

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Thus, the opportunity cost of using this building for a hardware store is $2.5

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2 years ago

Which of the following statements are false?

maria [59]

Answer:

a. Revenue provides only outward flows of cash.

b. Revenue is a subdivision of Assets.

d. Expenses are part of Total Assets.

Explanation:

Revenue is the income a business receives from its regular trading activities. It is the money realized from the sale of goods and services to customers. A company may have different sources of revenue such as interests received, sales, or disposal of assets.

Revenue is cash coming to the business or cash inflows. cash outflows is money leaving the company. Expenses are an example of cash outflows.

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2 years ago

Dalworth and Minor have decided to form a partnership. Minor is going to contribute a depreciable asset to the partnership as he

Roman55 [17]

Answer:

d .$127,000

Explanation:

The computation of the beginning equity balance is shown below:

= Market value of the assets i.e agreed upon - Note payable secured by the asset

= $245,000 - $118,000

= $127,000

By deducting the note payable from the market value of the asset so that the beginning equity balance could come

All other information mentioned in the question is not relevant. Hence, ignored it

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3 years ago

Culver Company has the following two temporary differences between its income tax expense and income taxes payable.

horrorfan [7]

Answer:

Journal entries

Explanation:

The journal entries are as follows

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To Deferred tax liability $5,880 ($29,400 × 20%)

(Being the income tax expense, deferred income taxes, and income taxes payable is recorded)

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(Being the income tax expense, deferred income taxes, and income taxes payable is recorded)

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Income tax expense $174,600

Deferred tax asset $1,660 ($8,300 × 20%)

To Income tax payable $189,140 ($945,700 × 20%)

To Deferred tax liability $1,920 ($9,600 × 20%)

(Being the income tax expense, deferred income taxes, and income taxes payable is recorded)

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3 years ago