Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. hw6 ch 131415 bankruptcy reorganization and partn

HW6 Ch 131415 Bankruptcy Reorganization and Partn Saved Help Save & Exit Submit You...

50.1K

Verified Solution

Question

Accounting

HW6 Ch 131415 Bankruptcy Reorganization and Partn
Saved
Help
Save & Exit
Submit
You skipped this question in the previous attempt.
10
The E.N.D. partnership has the following capital balances as of the end of the current year:
2.58
Pineda
Adams
Fergie
Gomez
Total capital
$130,000
110,000
100,000
100,000
90,000
$430,000
Answer each of the following independent questions:
Required:
a. Assume that the partners share profits and losses 3:3:2:2, respectively. Fergie retires and is paid $125,000 based the terms of the original partnership agreement. If the goodwill method is used, what is the capital balance of the remaining three partners?
b. Assume that the partners share profits and losses 4:3:2:1, respectively. Pineda retires and is paid $325,000 based on the terms of the original partnership agreement. If the bonus method is used, what is the capital balance of the remaining three partners? Note: Do not round your intermediate calculations. Round your final answers to the nearest dollar amounts.
\table[[,\table[[Capital],[Balance]]],[a. Pineda,],[Adams,],[Gomez,],[b. Adams,],[Fergie,],[Gomez,]]
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students