Answer:
The Rex’s gross income from the partnership in 2019 and 2020 is $1,20,000 and $1,80,000 respectively
Explanation:
The computation of the gross income for each year is shown below:
In 2019:
Gross income = Taxable income × percentage of interest in profits
= $400,000 × 30%
= $1,20,000
In 2020:
Gross income = Taxable income × percentage of interest in profits
= $600,000 × 30%
= $1,80,000
The withdrawn amount is not consider for computing the gross income. So, we ignored it
Answer:
This long of a question for onmly 10 points? But ill answe rit anyway. 48000299 the 200
Explanation:
When sales exceed production, the net operating income reported under variable costing generally will be <u>greater than the net operating income reported under absorption costing</u>.
Under variable costing, constant manufacturing overhead fee is handled as product cost. If the range of devices produced exceeds the range of gadgets sold, then net operating income under absorption costing will: be extra than net operating earnings underneath variable costing.
Variable costing is a concept used in managerial and cost accounting wherein the fixed production overhead is excluded from the product price of manufacturing. The technique contrasts with absorption costing, in which the fixed manufacturing overhead is allotted to products produced.
Absorption costing, once in a while known as “full costing,” is a managerial accounting technique for taking pictures of all prices associated with manufacturing a selected product. The direct and oblique costs, together with direct substances, direct exertions, leases, and insurance, are accounted for with the aid of the use of this method.
Learn more about Absorption costing here brainly.com/question/26276034
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Answer: If the fee has not been paid by the end of the accounting period and no adjusting entry is made, this would cause: "d. revenues to be understated.".
Explanation: The income would be underestimated because the income of $2120 that corresponds to the service provided in the accounting period, must be recognized in the accounting period in which the economic events occur regardless of when the income of the funds occurs (accrual principle).
Answer:
2.7 times
Explanation:
The computation of the current ratio is shown below:
Current ratio = Current assets ÷ Current liabilities
where,
Current assets = Cash + account receivable + inventory + marketable securities + prepaid expense
= $30,000 + $65,000 + $72,000 + $36,000 + $2,000
= $205,000
And, the current liabilities is
- Account payable + accrued liabilities + short term note payable
= $40,000 + $7,000 + $30,000
= $77,000
So, the current ratio is
= $205,000 ÷ $77,000
= 2.7 times
