Advanced Accounting

My comments on these problems ar in italics. 27.Determine Monthly Payments to Partners base on unafraid Capital Balances (LO4) (35 minutes) One thing you pick discover to watch for in these problems is contributes to or from attendants. A add to a assistant is a loan receivable and will put forward a debit offset. This means that the partner owes the coalition money. In liquidation, this loan is deducted from the partners gravid. A loan from the partner to the partnership has a credit balance. In liquidation this loan is added to the partners metropolis. So, you muckle cast that the loan to unfermented wave is deducted from Vans capital and the loan from Bakel is added to Bakels capital.

VAN, BAKEL, AND follow PARTNERSHIP Safe Installment Payments to Partners January 31 TotalVanBakelCox derive and press release ratio 100%50%30%20% Preliquidation capital balances $282,000$118,000$ 90,000$74,000 Add (deduct) loans (10,000)(30,000)20,000 -0- 272,00088,000110,00074,000 January losses (Schedule 1) (28,000)(14,000)(8,400)(5,600) Equity of partnership January 31 244,00074,000101,60068,400 voltage losses (Schedule 1) (199,000)(99,500)(59,700)(39,800) 45,000(25,500)41,90028,600 Potential lossVans deficit balance (Bakel 3/5; Cox 2/5) -0-25,500(15,300)(10,200) Safe payments to partners $45,000$ -0-$ 26,600$18,400 The above table is utilize to determine the safe payments that can be made to the partners at the end of January. You can see that the first line has the preliquidation capital balances taken direc tly from the balance sheet. Then, the loan! s are added and deducted. The January losses are detailed in archive 1 below. They...If you want to check a full essay, ordinance it on our website: OrderCustomPaper.com

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