The E.N.D. partnership has the following capital balances as of the end of the c

Question

The E.N.D. partnership has the following capital balances as of the end of the current year:

Assume that the partners share profits and losses 4:3:2:1, respectively. Pineda retires and is paid $345,000 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? (Do not round your intermediate calculations. Round your final answers to the nearest dollar amounts.)

The E.N.D. partnership has the following capital balances as of the end of the current year:

Explanation / Answer

Pineda Share = 4 Adams 3 Fergie 2 Gomej 1 10 Amount paid to pineda =           345,000 balance capital of: Adams = 345000*3/4 =       258,750 Fergie 345000*2/4 =       172,500 Gomej 345000*1/4 =          86,250

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.