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notka56 [123]
3 years ago
10

S. Wang and T. Wu are partners with equal capital balances of $50,000 each. They agree to let J. Li invest $20,000 in their part

nership for a 10% interest, including bonuses to the existing partners. The journal entry to reflect the bonus to Wang will include a credit to _______ in the amount of ______.
Business
1 answer:
loris [4]3 years ago
8 0

The journal entry to reflect the bonus to Wang will include a credit to Wang, Capital in the amount of $4,000

First step is to calculate S. Wang and T. Wu and  J. Li capital amount

Capital=$50,000+$50,000+$20,000

Capital=$120,000

Second step is to calculate their new capital

New capital=$120,000*.10

New capital=$12,000

Now to determine Wang bonus amount we have to divide the capital equally between S. Wang and T. Wu

Bonus=($20,000-$12,000)/2

Bonus=$8,000/2

Bonus=$4,000

Therefore journal entry to reflect the bonus to Wang will include a credit to Wang, Capital in the amount of $4,000

 

Learn more about Partnership  share of Capital here:

brainly.com/question/13219570

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If the garden is to be 6050 square feet, and the fence along the driveway costs $6 per foot while on the other three sides it co
Burka [1]

Answer:

The dimension that will minimize the cost is 55 and 110(55 × 110)

Explanation:

The garden area is 6050 ft². Along the driveway the costs is $6 per foot while the other 3 area sides cost only $2 per foot.

The garden has four sides so it a rectangle .

a = length along the driveway

b = length perpendicular to the driveway

The area = a × b

ab = 6050

b = 6050/a

minimize cost = 6a + 2a + 2b + 2b

minimize cost = 8a + 4b

cost = 8a + 4b

y = 8a + 4(6050/a)

y = 8a + 24200/a

y = 8a + 24200/a

differentiate the rate of change of the cost with respect to length.

y'(a) = 8 - 24200/a²

(8a² - 24200)/a² = 0

cross multiply

8a² = 24200

a² = 24200/8

a² = 3025

a = √3025

a = 55

inserting the value of a in the area formula

ab = 6050

b = 6050/55

b = 110

4 0
3 years ago
A number of years ago, Kay acquired an interest in a partnership in which she is not a material participant. Kay's basis in her
marshall27 [118]

Answer:

deduction = 0 in 2015

Deduction = $ 15000  in 2016  

balance = $20000

it is carried forward to the year 2017

Explanation:

given data

partnership interest = $40,000

partnership loss = $35,000

partnership income =  $15,000

to find out

How much may Kay deduct in 2015 and 2016

solution

we can say that Loss is  adjust or deduct against Profit of Kay when it  makes profit during a year

so as that  Kay make loss in 2015 and  no profits during that year to adjust those loses against

so deduction = 0 in 2015

but

in 2016

Kay income = $ 15000

Kay adjust loss of previous year against this income to extent of income available

so Deduction = $ 15000  in 2016  

and after that

here balance after deducting the passive loss is

balance = $35000 - $15000

balance = $20000

it is carried forward to the year 2017

6 0
4 years ago
The discount rate is the interest rate on loans that the Federal Reserve makes to banks. Banks occasionally borrow from the Fede
____ [38]

Answer:

Explanation:

The discount rate is the interest rate on loans that the Federal Reserve makes to banks. Banks occasionally borrow from the Federal Reserve when they find themselves short on reserves. A lower discount rate increases banks' incentives to borrow reserves from the Federal Reserve, thereby increasing the quantity of reserves in the banking system and causing the money supply to rise.The federal funds rate is the interest rate that banks charge one another for short-term (typically overnight) loans. When the Federal Reserve uses open-market operations to sell government bonds, the quantity of reserves in the banking system increases banks' demand for borrowed reserves declines, and the federal funds rate decreases

4 0
3 years ago
The Adams Company is closely held and, therefore, cannot generate reliable inputs with which to use the CAPM method for estimati
tino4ka555 [31]

Answer:

the cost of internal equity is 16.17%

Explanation:

The computation of the cost of internal equity is shown below:

= Yield of the bond + risk premium of the firm

= 10.28% + 4.95%

= 16.17%

Hence, the cost of internal equity is 16.17%

Basically we add the two things so that the cost of internal equity could be determined

5 0
3 years ago
A track coach wants to test the effectiveness of a new training program for distance runners. he selects his two fastest runners
mezya [45]
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5 0
3 years ago
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