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4 years ago

The Abrams, Bartle, and Creighton partnership began the process of liquidation with the following balance sheet:

Business

1 answer:

abruzzese [7]4 years ago

8 0

Answer and Explanation:

The contribution of assets to the partnership to cover a deficit is presented below:

Particulars Abram Bartle Creighton

Capital Balance $80,000 $90,000 $130,000

Less:

Allocation of non cash assets sold ($434,000 - $134,000) = $300,000 in 3 : 2 :5 ratio

-$90,000 -$60,000 -$150,000

Liquidation expense -$3,600 -$2,400 -$6,000

Liabilities ($150,000 - $16,000) = $134,000 in 3 : 2 :5 ratio

-$40,200 -.$26,800 -$67,000

Adjusted capital balance -$53,800 $800 -$93,000

So based on the above calculation the Abram and Creighton have to contribute the assets

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What is the key difference between the Consumer Price Index (CPI) and the GDP deflator? A. The GDP deflator includes imports,

stellarik [79]

Answer:

<h2>The correct answer in this case is option D. or The two indexes measure price changes for different "baskets" of products.</h2>

Explanation:

Both GDP deflator and Consumer Price Index(CPI) measure the variation or fluctuation in the price level of goods and services in the economy.GDP deflator is measured based on the variable baskets of goods and services produced by any country or economy.In other words,GDP deflator is estimated based on the costs or market value of a specific basket of goods and services produced by the country or economy which is compared with the cost or market value of the same set of goods and service in any previous base year.Under GDP deflator,this basket of goods and services varies periodically.CPI also uses the same concept but the specific basket of goods and services used to calculate CPI is fixed and does not vary over time or periodically,unlike GDP deflator.

7 0

3 years ago

Five months ago Wilson opened up a health club. Which of the following is an implicit cost related to the health club A. Wilson

Leto [7]

Answer:

Option "A" is the correct answer to the following statement.

Explanation:

Implicit cost is a special type of opportunity cost, its generate when an organization or a business has to pay his cost and does not necessary to show it. for example, a businessman gets a salary from his organization.

In this situation, Wilson owns a club and works as an accountant in it.

This type of cost defines an Implicit cost for Wilson's health club.

5 0

4 years ago

The following information is available for two different types of businesses for the 2018 accounting year. Hopkins CPAs is a ser

Klio2033 [76]

Answer:

Hopkins CPAs

Income Statement

Revenue 44,000.00

Salary 28,200.00

Profit 15,800.00

Balance Sheet

Assets

Cash 49,800.00

Total 49,800.00

Capital & Liabilities

Retained Earnings 15,800.00

Loan 34,000.00

Total 49,800.00

Cashflow Statement

Operating Activities

Revenue 44,000.00

Salary 28,200.00

Net Flow 15,800.00

Investing Activities

NIL

Financing Activities

Loan 34,000.00

Opening Cash NIL

Net Cashflow 49,800

Closing Cash 49,800.00

2. Sports Clothing

Income Statement

Revenue 50,000.00

Cost of Sales 27,700.00

Operating Expenses 4,000.00

Profit 18,300.00

Balance Sheet

Assets

Cash 47,000.00

Inventory 5,300.00

Total 52,300.00

Capital & Liabilities

Retained Earnings 18,300.00

Loan 34,000.00

Total 52,300.00

Cashflow Statement

Operating Activities

Revenue 50,000.00

Operating Costs 31,700.00

Working Capital 5,300.00

Net Flow 13,000.00

Investing Activities

NIL

Financing Activities

Loan 34,000.00

Opening Cash NIL

Net Cashflow 47,000

Closing Cash 47,000.00

Explanation:

1. Hopkins CPAs

Data for Hopkins CPAs Borrowed $34,000 from the bank to start the business.

Dr. Cash...34,000

Cr. Loan..........34,000

Provided $44,000 of services to clients and collected $44,000 cash.

Dr Cash......44,000

Cr Revenue..........44,000

Paid salary expense of $28,200.

Dr Salary Expense...28,200

Cr Cash............................28,200

Hopkins CPAs

Income Statement

Revenue 44,000.00

Salary 28,200.00

Profit 15,800.00

Balance Sheet

Assets

Cash 49,800.00

Total 49,800.00

Capital & Liabilities

Retained Earnings 15,800.00

Loan 34,000.00

Total 49,800.00

Cashflow Statement

Operating Activities

Revenue 44,000.00

Salary 28,200.00

Net Flow 15,800.00

Investing Activities

NIL

Financing Activities

Loan 34,000.00

Opening Cash NIL

Net Cashflow 49,800

Closing Cash 49,800.00

2. Sports Clothing

1.Borrowed $34,000 from the bank to start the business.

Dr Cash...34,000

Cr Loan..............34,000

2.Purchased $33,000 inventory for cash.

Dr. Inventory.....33,000

Cr. Cash.....................33,000

3.Inventory costing $27,700 was sold for $50,000 cash.

Dr. Cash.... 50,000

Cr. Sales.................50,000

Dr. Cost of Sales...27,700

Cr. Inventory...................27,700

4.Paid $4,000 cash for operating expenses.

Dr. Operating Expenses...4000

Cr. Cash..................................4,000

Income Statement

Revenue 50,000.00

Cost of Sales 27,700.00

Operating Expenses 4,000.00

Profit 18,300.00

Balance Sheet

Assets

Cash 47,000.00

Inventory 5,300.00

Total 52,300.00

Capital & Liabilities

Retained Earnings 18,300.00

Loan 34,000.00

Total 52,300.00

Cashflow Statement

Operating Activities

Revenue 50,000.00

Operating Costs 31,700.00

Working Capital 5,300.00

Net Flow 13,000.00

Investing Activities

NIL

Financing Activities

Loan 34,000.00

Opening Cash NIL

Net Cashflow 47,000

Closing Cash 47,000.00

5 0

3 years ago

A product line should be dropped when a. there will be a positive change in income if the product line is dropped. b. all of the

Hoochie [10]

Answer:

a. there will be a positive change in income if the product line is dropped

Explanation:

The decision regarding whether a product line should be continued or dropped should take into consideration all the relevant costs and net income before and after dropping such a product line.

While considering costs, unavoidable fixed costs need not be considered as those would be incurred irrespective of the product line getting dropped or continued.

A Product line should be dropped only when it results into a positive change in the net income which means, the net income after dropping such a product line should be more than the net income before dropping.

7 0

3 years ago

Estimated Income Statements, using Absorption and Variable Costing Prior to the first month of operations ending October 31, Mar

igomit [66]

Answer:

Estimated Income Statements, using Absorption and Variable Costing Prior to the first month of operations ending October 31, Marshall Inc. estimated the following operating results:

Sales (21,600 x $75) $1,620,000

Manufacturing costs (21,600 units):

Direct materials 984,960

Direct labor 233,280

Variable factory overhead 108,000

Fixed factory overhead 129,600

Fixed selling and administrative expenses 35,300

Variable selling and administrative expenses 42,600 .

Explanation:

<h2>plz mark me as a BRAINLIAST...</h2>

3 0

3 years ago