Answer:
The correct answer is:
John's capital account for $35,300 (c.)
Explanation:
In the admission of a new partner, the purchase of ownership from an existing partner to a new partner is entirely a personal transaction between the existing partner and the new partner, and the extent of partner bonus (the interest sold on the original partnership amount) is acquired by the exiting partner, but this bonus is not reflected in the partnership agreement, hence the amount credited into the new partner's account is the same as that owned previously by the exiting partner, irrespective of how much the partnership ownership was sold for.
Hence, since Bobbi's partnership capital was $35,300, John's account would be credited with the same amount even if the ownership was sold for $55,900, as the bonus goes to Bobbi.
I would say your answer is A.
Glad I could help, and good luck!
To better show and explain a image, idea, and or organization for a business.
It is basically to help build a postitive image for your business you are running or trying to create
Hope this helps
A would be the correct answer
Mike brought 100 shares costing $53 each.
Total costs of shares= 100*53
=$5300
He got dividends of $1.45 per share. A dividend is money that is earnt back from a share.
Total dividend amount = 1.45*100
=$145
I'm assuming that Mike sold his shares at the end of the year. He sells for $60 each.
Total sales amount=60*100
=$6000
The rate of return in this instance can be defined as the amount of money made back from a share.
Rate of return= total earnings/ costs
Total costs= $5300
Total earnings=$6145
6145/5300=1.1594
=15.9%
Hope this helps! :)
