90.2K

Verified Solution

Link Copied!

I need help

On January 1, 2018, Ima sample and Ura Student decided to form the Student-Sample partnership. The information for the partnership is as follows:

Tasks In a Word document, compose a basic partnership agreement The agreement should include, but not limited to: a.) The name of the partnership, b.) partnership responsibilities, c.) the procedures for admission , withdrawal and death of partner, d. how profits and losses will be divided (cannot be 50/50), e.) the amount of interest partners earn on contributions, and f.) partners salaries. In a second Word document, using the Insert Tables feature, create a general journal. Then, journalize the entries for the formation of the partnership. One partner must bring in a fixed asset that includes a liability with it and the other should bring only cash. You may decide the amount of each of the partners investment. Using the two profit/loss amounts from the table above and an Excel Spreadsheet, create a table showing the distribution of Profit or Loss to the partners. Include under the table, the journal entries to distribute the profit or loss. The distribution must include salaries, interest, and distribution to the partners. Using a Word or Excel document/table, create a partnership liquidation for the partnership. Make sure to show the payment of liabilities, sell of noncash assets, and distribution of the remainder.

Part A:

Student and Sample will be changing their business type from a Partnership to a Corporation. For this company, create an Articles of Incorporation using the Georgia Secretary of State Guidelines in the format of the Georgia Secretary of State template. The document must include:

• The name of the corporation.
• The address of the corporation.
• The number of common and preferred shares the corporation is authorized to issue.
• The par value of each class of stork
• Names and Addresses of the Incorporators (Ima).
• The State of Incorporation.

For Part 2 of this project. Complete the following problem. You can use electronic accounting forms, manual accounting forms, or excel to complete the problem. For the statements, prepare a comprehensive income statement and classified balance sheet.

Address: 3036 Water Falls Parkway Marietta, GA 30060 Phone (770)-528-0001 E-mail [email protected] 2018 Profit/ (Loss) $100,000 2019 Profir/(Loss) (20,000) During Year 10, Pacilio Security Services experienced the following transactions: Page 592 1. Paid the sales tax payable from Year 9. 2. Paid the balance of the payroll liabilities due for Year 9 (federal income tax, FICA taxes, and unemployment taxes). 3. On January 1, Year 10, purchased land and a building for $150,000. The building was appraised at $125,000 and the land at $25,000. Pacilio paid $50,000 cash and financed the balance. The balance was financed with a 10-year installment note. The note had an interest rate of 7 percent and annual payments of $14,238 due on the last day of the year. 4. On January 1, Year 10, issued $50,000 of 6 percent, five year bonds. The bonds were issued at 98. 5. Purchase $660 of supplies on account. 6. Purchased 170 alarm systems at a cost of $300. Cash was paid for the purchase. 7. After numerous attempts to collect from customers, wrote off $2,450 of uncollectible accounts receivable. 8. Sold 160 alarm systems for $580 each plus sales tax of 5 percent. All sales were on account. (Be sure to compute cost of goods sold using the FIFO cost flow method.) 9. Billed $120,000 of monitoring services for the year. Credit card sales amounted to $36,000, and the credit card company charged a 4 percent fee. The remaining $84,000 were sales on account. Sales tax is not charged on this service. $122,475 100 27,400 4,390 165 Cash Petty cash Accounts receivable Allowance for doubtful accounts Supplies Prepaid rent Merchandise inventory (38 @ $290) Equipment Van Accumulated depreciation Sales tax payable Employee income tax payable FICA-Social Security tax payable FICA-Medicare tax payable Warranty payable Unemployment tax payable Interest payable Notes payable Common stock Retained earnings 3,000 11,020 9,000 27,000 23,050 290 500 600 150 312 630 320 12,000 50,000 107,918

Answer & Explanation Solved by verified expert

See Answer