103. Cox, North, and Lee form a partnership. Cox contributes$204,000, North contributes $170,000, and...

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Accounting

103. Cox, North, and Lee form a partnership. Cox contributes$204,000, North contributes $170,000, and Lee contributes $306,000.Their partnership agreement calls for a 6% interest allowance onthe partner's capital balances with the remaining income or loss tobe allocated equally. If the partnership reports income of $154,800for its first year, what amount of income is credited to North'scapital account?
103B. Farmer and Taylor formed a partnership with capitalcontributions of $250,000 and $300,000, respectively. Theirpartnership agreement calls for Farmer to receive a $80,000 peryear salary. The remaining income or loss is to be divided equally.If the net income for the current year is $195,000, then Farmer andTaylor's respective shares are:
103C. Jeffreys Company reports depreciation expense of $58,000for Year 2. Also, equipment costing $194,000 was sold for a $11,800loss in Year 2. The following selected information is available forJeffreys Company from its comparative balance sheet. Compute thecash received from the sale of the equipment.
At December31 Year 2 Year 1
Equipment $ 700,000 $ 894,000
AccumulatedDepreciation-Equipment 500,000 590,000

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103 Income for the year 154800 Less Interest on capital balances 6204000170000306000 40800 Balance to be distributed equally 114000 Interest credited to Norths capital account 6170000 10200 13rd share of profits See Answer

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In: Accounting103. Cox, North, and Lee form a partnership. Cox contributes$204,000, North contributes $170,000, and Lee...103. Cox, North, and Lee form a partnership. Cox contributes$204,000, North contributes $170,000, and Lee contributes $306,000.Their partnership agreement calls for a 6% interest allowance onthe partner's capital balances with the remaining income or loss tobe allocated equally. If the partnership reports income of $154,800for its first year, what amount of income is credited to North'scapital account?103B. Farmer and Taylor formed a partnership with capitalcontributions of $250,000 and $300,000, respectively. Theirpartnership agreement calls for Farmer to receive a $80,000 peryear salary. The remaining income or loss is to be divided equally.If the net income for the current year is $195,000, then Farmer andTaylor's respective shares are:103C. Jeffreys Company reports depreciation expense of $58,000for Year 2. Also, equipment costing $194,000 was sold for a $11,800loss in Year 2. The following selected information is available forJeffreys Company from its comparative balance sheet. Compute thecash received from the sale of the equipment.At December31Year 2Year 1Equipment$700,000$894,000AccumulatedDepreciation-Equipment500,000590,000

At December31	Year 2		Year 1
Equipment	$	700,000	$	894,000
AccumulatedDepreciation-Equipment		500,000		590,000