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Nuetrik [128]
2 years ago
7

1. Nunes, Orta and Paulo are partners providing engineering services. Relevant data regarding income-sharing relationships and c

apital balances are as follows: Partner Capital Balance Income Share Nunes $ 250,000 20% Orta 180,000 30% Paulo 150,000 50% Totals $ 580,000 100% 2. Orta decides to retire and receives $159,000 in cash from the partnership. If the bonus method is used to account for the retirement, Paulo's capital balance after Orta's retirement is: A. $135,000 B. $139,500 C. $160,500 D. $165,000
Business
1 answer:
krok68 [10]2 years ago
6 0

Answer:

D) $165,000

Explanation:

Partner        Capital Balance             Income Share

Nunes              $250,000                        20%

Orta                  $180,000                         30%

Paulo                $150,000                         50%

Totals               $580,000                       100%

Orta's balance - capital balance = $180,000 - $159,000 = $21,000 which will increase the partnership's total capital balance

partnership's capital balance = $421,000

the extra $21,000 will be divided according to each remaining partner's income distribution:

  • Paulo = (50%/70%) x $21,000 = $15,000
  • Nunes = (20%/70%) x $21,000 = $6,000

Paulo's capital balance = $150,000 + $15,000 = $165,000

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A company has two departments, Y and Z that incur delivery expenses. An analysis of the total delivery expense of $14,000 indica
Readme [11.4K]

Answer:

Department Y $9000

Department Z $5000

Explanation:

Delivery expense can be calculated using the allocation and apportionment method for Y and Z.

<u>Step 1. Allocation</u>

The costs that are directly attributable to the departments would be allocated to its relevant department. Here, $1500 are the direct expenses for the deliveries for the department Y, so at the first step,

Department Y Cost = $1500

For the department Z, their are no direct expenses for the deliveries,so at the first step,

Department Z Cost = $0

<u>Step 1. Apportionment</u>

The indirect cost of $12500 ($14000 - $1500) would be apportioned among department Y and Z.

So

Department Y = $1500 + $12500 x 60% = $9000

Department Z = $12500 x 40% = $5000

3 0
3 years ago
Boyd's Bicycle Sales and Repairs Co. offers a 6-month warranty on all new bicycle purchases. Based on history, Boyd determines t
guapka [62]

Answer:

Boyd will record Warranty Expense in the amount of $400 for the month.

Explanation:

Warraty expense is an obligation on the business because business idmliable to accept the claims of warranty. A estimated percentage of warranty expense is charges as an expense in each period.

Sales = $20,000

Warranty repair = 2% of Sales

Warranty Expnese = Sales x Warranty repairs percentage

Warranty Expnese = $20,000 x 2%

Warranty Expnese = $400

4 0
3 years ago
Martin was trying to sell pumps for circulating water in decorative goldfish ponds when he realized that the reason he was not a
Llana [10]

The correct answer would be option A, Change Agent.

After making the change in design, the pumps became lightweight and were better able to meet customers' requirements. As the Change Agent, Martin identified an opportunity, saw the project from its conception to the development of a light model pump.

Explanation:

A person who brings about change in the organization, or who influences or forces to make a change in the product or organization like organizational effectiveness, improvement or development, then this person is called as a Change Agent.

A Change agent is a person who can be from within the organization or can be from outside of the organization.

So Martin, who is an employee of the firm, and trying to sell the firm's product to the customers, identified an opportunity and told the firm to change the model of pump to get more sales. So he acted as a change agent in this example.

Learn more about Change Agent at:

brainly.com/question/6665943

#LearnWithBrainly

6 0
2 years ago
Your new team is working hard, but they are all less experienced than you and don't complete their tasks as quickly
hammer [34]

Answer:

I would personally try to teach them myself since I have more experience and help them get better at their work environment.

Explanation:

8 0
3 years ago
The Harrison Company is closely held and, therefore, cannot generate reliable inputs with which to use the CAPM method for estim
Artyom0805 [142]

Answer:

the formula used to calculate the cost of equity (required rate of return) based on the bond yield plus risk premium is fairly simple:

cost of equity (Re) = yield of debt (bonds) + firm's risk premium = 11.52% + 3.55% = 15.07%

I'm not sure if the question was copied correctly or not, so I looked for similar questions and it included different numbers.

<em>The Harrison Company is closely held and, therefore, cannot generate reliable inputs with which to use the CAPM method for estimating a company's cost of internal equity. Harrison's bonds yield 10.28%, and the firm's analysts estimate that the firm's risk premium on its stock over its bonds is 4.95%. Based on the bond-yield-plus-risk-premium approach, Harrison's cost of Internal equity is: = 10.28% + 4.95% = 15.23%</em>

<em>Another question: </em>

<em>The Kennedy Company is closely held and, therefore, cannot generate reliable inputs with which to use the CAPM method for estimating a company's cost of internal equity. Kennedy's bonds yield 11.52%, and the firm's analysts estimate that the firm's risk premium on its stock over its bonds is 4.95%. Based on the bond-yield-plus-risk-premium approach, Kennedy's cost of internal equity is: = 11.52% + 4.95% = 16.47%</em>

5 0
3 years ago
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