Question

The capital accounts of Angel Alvarez and Emma Allison have balances of $46,850 and $72,000, respectively,...

The capital accounts of Angel Alvarez and Emma Allison have balances of $46,850 and $72,000, respectively, on January 1, 20Y4, the beginning of the fiscal year. On March 10, Alvarez invested an additional $8,360. During the year, Alvarez and Allison withdrew $32,230 and $40,410, respectively, and net income for the year was $62,000. Revenues were $483,000, and expenses were $421,000. The articles of partnership make no reference to the division of net income.

Required:
A. Journalize the entries to close (1) the revenues and expenses and (2) the drawing accounts on December 31. Refer to the Chart of Accounts for exact wording of account titles.
B.

Prepare a statement of partnership equity for the current year for the partnership of Alvarez and Allison. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries.

CHART OF ACCOUNTS
Alvarez and Allison
General Ledger
ASSETS
110 Cash
111 Petty Cash
112 Accounts Receivable
113 Allowance for Doubtful Accounts
114 Interest Receivable
115 Notes Receivable
116 Inventory
117 Office Supplies
118 Store Supplies
119 Prepaid Insurance
120 Land
123 Equipment
124 Accumulated Depreciation-Equipment
129 Asset Revaluations
133 Patent
LIABILITIES
210 Accounts Payable
211 Salaries Payable
213 Sales Tax Payable
214 Interest Payable
215 Notes Payable
EQUITY
310 Angel Alvarez, Capital
311 Angel Alvarez, Drawing
312 Emma Allison, Capital
313 Emma Allison, Drawing
REVENUE
410 Revenues
610 Interest Revenue
EXPENSES
510 Cost of Merchandise Sold
520 Expenses
521 Advertising Expense
522 Depreciation Expense-Equipment
523 Delivery Expense
524 Repairs Expense
529 Selling Expenses
531 Rent Expense
533 Insurance Expense
534 Office Supplies Expense
535 Store Supplies Expense
536 Credit Card Expense
537 Cash Short and Over
538 Bad Debt Expense
539 Miscellaneous Expense
710 Interest Expense
Amount Descriptions
Add partner withdrawals
Balance, December 31, 20Y4
Balance, January 1, 20Y4
Balances after realization
Balances before realization
Additional investment during the year
Withdrawals during the year
Net income for the year
Net loss for the year
Payment of liabilities
Receipt of deficiency
Sale of assets and division of gain
Sale of assets and division of loss


A. Journalize the entries to close (1) the revenues and expenses and (2) the drawing accounts on December 31. Refer to the Chart of Accounts for exact wording of account titles.

PAGE 10

JOURNAL

ACCOUNTING EQUATION

DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY

1

Closing Entries

2

3

4

5

6

7

8

9

B. Prepare a statement of partnership equity for the current year for the partnership of Alvarez and Allison. Refer to the information given and the list of Amount Descriptions provided for the exact wording of the answer choices for text entries. If there is a decrease in partner’s equity, enter that amount as a negative number using a minus sign.

ALVAREZ AND ALLISON

Statement of Partnership Equity

For the Year Ended December 31, 20Y4

1

Angel Alvarez, Capital

Emma Allison, Capital

Total Partnership Capital

2

3

4

5

6
Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The capital accounts of Trent Henry and Tim Chou have balances of $146,000 and $93,800, respectively....
The capital accounts of Trent Henry and Tim Chou have balances of $146,000 and $93,800, respectively. LeAnne Gilbert and Becky Clarke are to be admitted to the partnership. Gilbert buys one-fifth of Henry’s interest for $29,100 and one-fourth of Chou’s interest for $21,300. Clarke contributes $69,400 cash to the partnership, for which she is to receive an ownership equity of $69,400. Required: A. On December 31, journalize the entries to record the admission of (1) Gilbert and (2) Clarke. Refer...
On March 31, 20Y4, the balances of the accounts appearing in the ledger of Danns Furnishings...
On March 31, 20Y4, the balances of the accounts appearing in the ledger of Danns Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation—Building $742,600 Administrative Expenses 515,600 Building 2,552,350 Cash 170,400 Cost of Merchandise Sold 3,698,650 Interest Expense 10,400 Kathy Melman, Capital 1,505,050 Kathy Melman, Drawing 175,450 Merchandise Inventory 992,800 Notes Payable 244,350 Office Supplies 20,000 Salaries Payable 8,100 Sales 6,501,450 Selling Expenses 715,850 Store Supplies 86,300 Journalize the closing entries. Refer to the chart of accounts for...
On March 31, 20Y4, the balances of the accounts appearing in the ledger of Danns Furnishings...
On March 31, 20Y4, the balances of the accounts appearing in the ledger of Danns Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation-Building $419,000 Administrative Expenses 302,000 Building 1,397,000 Cash 98,000 Cost of Merchandise Sold 2,123,000 Interest Expense 6,000 Kathy Melman, Capital 887,000 Kathy Melman, Drawing 98,000 Merchandise Inventory 547,000 Notes Payable 140,000 Office Supplies 11,000 Salaries Payable 4,000 Sales 3,582,000 Selling Expenses 400,000 Store Supplies 50,000 Journalize the closing entries. Refer to the chart of accounts for...
On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings...
On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation—Building $ 300,000 Administrative Expenses 216,000 Building 1,000,000 Cash 70,000 Cost of Merchandise Sold 1,520,000 Interest Expense 4,000 Kathy Melman, Capital 634,800 Kathy Melman, Drawing 70,000 Merchandise Inventory 392,000 Notes Payable 100,000 Office Supplies 8,000 Salaries Payable 3,200 Sales 2,564,000 Selling Expenses 286,000 Store Supplies 36,000 Journalize the closing entries. Refer to the Chart of Accounts...
ructions On July 31, 2019, the balances of the accounts appearing in the ledger of Serbian...
ructions On July 31, 2019, the balances of the accounts appearing in the ledger of Serbian Interiors Company, a furniture wholesaler, are as follows: Accumulated Depreciation-Building $365,000 Administrative Expenses 440,000 Building 810,000 Cash 78,000 Cost of Merchandise Sold 775,000 Interest Expense 6,000 Merchandise Inventory 115,000 Notes Payable 100,000 Peter Bronsky, Capital 530,000 Peter Bronsky, Drawing 15,000 Sales 1,437,000 Sales Tax Payable 4,500 Selling Expenses 160,000 Store Supplies 16,000 Store Supplies Expense 21,500 Required: Prepare the July 31, 2019, closing entries...
On July 31, 20Y7, the balances of the accounts appearing in the ledger of Yang Interiors...
On July 31, 20Y7, the balances of the accounts appearing in the ledger of Yang Interiors Company, a furniture wholesaler, are as follows: Accumulated Depreciation-Building $443,000 Administrative Expenses 534,000 Building 984,000 Cash 95,000 Cost of Merchandise Sold 941,000 Interest Expense 7,000 Merchandise Inventory 140,000 Notes Payable 121,000 Peter Bronsky, Capital 644,000 Peter Bronsky, Drawing 18,000 Sales 1,745,000 Sales Tax Payable 4,500 Selling Expenses 194,000 Store Supplies 19,000 Store Supplies Expense 25,500 Required: Prepare the July 31, 20Y7, closing entries for...
Mira Services Co. offers its services to individuals desiring to improve their personal images. After the...
Mira Services Co. offers its services to individuals desiring to improve their personal images. After the accounts have been adjusted at October 31, the end of the fiscal year, the following balances were taken from the ledger of Mira Services Co.: Bonnie Mira, Capital $900,000 Bonnie Mira, Drawing 18,000 Fees Earned 525,400 Wages Expense 481,000 Rent Expense 69,500 Supplies Expense 11,400 Miscellaneous Expense 14,800 Journalize the four entries required to close the accounts. Refer to the Chart of Accounts for...
After the accounts have been adjusted at April 30, the end of the fiscal year, the...
After the accounts have been adjusted at April 30, the end of the fiscal year, the following balances were taken from the ledger of Nuclear Landscaping Co.: Retained Earnings $3,484,000 Dividends 36,000 Fees Earned 1,254,000 Wages Expense 748,200 Rent Expense 64,400 Supplies Expense 13,250 Miscellaneous Expense 8,950 Journalize the four entries required to close the accounts. Refer to the Chart of Accounts for exact wording of account titles. CHART OF ACCOUNTS Nuclear Landscaping Co. General Ledger ASSETS 11 Cash 12...
The balance in the supplies account, before adjustment at the end of the year, is $5,330....
The balance in the supplies account, before adjustment at the end of the year, is $5,330. The year end is December 31. Journalize the December 31 adjusting entry required if the amount of supplies on hand at the end of the year is $1,875. Refer to the Chart of Accounts for exact wording of account titles. Chart of Accounts CHART OF ACCOUNTS General Ledger ASSETS 11 Cash 12 Accounts Receivable 13 Supplies 14 Prepaid Insurance 15 Land 16 Equipment 17...
PLEASE USE THE CHARTS I HAVE PROVIDED (THIS IS ALL THE INFORMATION GIVEN) Hoover Corp., a...
PLEASE USE THE CHARTS I HAVE PROVIDED (THIS IS ALL THE INFORMATION GIVEN) Hoover Corp., a wholesaler of music equipment, issued $30,500,000 of 20-year, 10% callable bonds on March 1, 20Y2, at their face amount, with interest payable on March 1 and September 1. The fiscal year of the company is the calendar year. Journalize the entries to record the following selected transactions. Refer to the Chart of Accounts for exact wording of account titles. 20Y2 Mar. 1 Issued the...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT