• Partnership And Corporation Solution Manual Ballada
• Engineering Solution Manual
• Solution Manual Balla Da

Chapter 2 ballada. 1. PARTNERSHIP OPERATIONS AND FINANCIAL REPORTING 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi).

Partnership and Corporation Solution Manual 2014-2015 Chapter 1 Review of the Accounting Process ** Quizzers – Problems ** I. B – 25,000 B – 100,000 II. Read and Download Partnership And Corporation Ballada Manual Free Ebooks in PDF format - COMPUTER NETWORKS SOLUTION MANUAL 6TH EDITION 1995 YAMAHA G14 GOLF CART.

The basis on which profits or losses are shared is a matter of agreement among the partners and may not necessarily be the same as their capital contribution ratio. The equity of a partner in the net assets of the partnership should be distinguished from a partner’s share in profit or losses. 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi).

1. Partners having considerable financial resources, hence, strong credit standing. A partner who is well known in a profession or an industry may contributed immensely to the success of the partnership although he may not participate actively in the operations of the partnership. 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). Many partnerships use profit and loss sharing arrangements that give some weight to th specific performance of each partner to provide incentives to perform well.

This allocation of profits to a partner on the basis of performance is frequently referred to as a BONUS. Examples of the use of performance criteria are: 1.

Chargeable hours 2. Total billings 3. Write-offs 4. Promotional and civic activities 5. Profits in excess of specified levels 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). Based on the legal provisions of the Civil Code of the Philippines, the following are the rules for the distribution of profits or losses 1.

Toshiba e studio 182 service manual free download. The profits will be divided according to partners’ agreement b. If there is no agreement:  As to capitalist partners, the profits shall be divided according to their capital contributions (according to the ratio of original capital investments or in its absence, the ratio of capital balances at the beginning of the year)  As to industrial partners (if any), such share as may be just and equitable under the circumstances, provided, that the industrial partner shall receive such share before the capitalist partnes shall divide the profits.

'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). 2. The losses will be divided according to partners’ agreement b. If there is no agreement as to distribution of losses butthere is an agreement as to profits, the losses shall be distributed according to the profit sharing ratio c.

In the absence of any agreement:  As to capitalist partners, the losses shall be divided according to their capital contributions (according to the ratio of original capital investments or in its absence, the ratio of capital balances at the beginning of the year).  As to purely industrial partners (if there’s any), shall not be liable for any losses.

'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). Per International Accounting Stadards (IAS) No. 8, Accounting Policies, Changes in Accounting Estimates and Errors, prior period errors are omissions from and other misstatements of the entity’s financial statements for one or more prior periods that are discovered in the current period. Errors may occur as a result of mathematical mistakes in applying accounting policies, misintepretation of facts, fraud or oversights.

Examples include errors in the estimation of depreciation, errors in inventory valuation and omission of accruals of revenue and expenses. 'An eye for an eye will make the whole world blind.'

(Mahatma Gandhi). The partners may agree on any of the following scheme in distributing profits or losses: 1. Equally or in other agreed ratio 2. Based on partners’ capital contributions a. Ratio of original capital investments b. Ratio of capital balances at the beginning of the year c. Ratio of capital balances at the end of the year d.

Ratio of average capital balances 3. By allowing interest on partners’ capital and the balance in an agreed ratio 'An eye for an eye will make the whole world blind.'

(Mahatma Gandhi). 4. By allowing salaries to partners and the balance in an agreed ratio 5.

By allowing bonus to the managing partner based on profit and the balance in an agreed ratio 6. By allowing salaries, interest on partners’ capital, bonus to the managing partner and the balance in an agreed ratio (combination of 3 to 5) 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi).

Partners’ withdrawal and salaries that are considered to be temporary withdrawal are to be recorded in the “partner’s drawing” account. As such the following entry: Partner A, Drawings xxx Cash xxx Partner B, Drawings xxx Cash xxx 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). After computing the profits and losses, the following is the pro-forma journal entries: PROFITS Income Summary xxx Partner A, Drawing xxx Partner B, Drawing xxx Partner A, Drawing xxx Partner B, Drawing xxx Partner A, Capital xxx Partner B, Capital xxx 'An eye for an eye will make the whole world blind.'

(Mahatma Gandhi). After computing the profits and losses, the following is the pro-forma journal entries: LOSSES Partner A, Drawing xxx Partner B, Drawing xxx Income Summary xxx Partner A, Capital xxx Partner B, Capital xxx Partner A, Drawing xxx Partner B, Drawing xxx 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). The following series of illustrations are based on the figures obtained from the Medina and Matero Partnership which had a profit of P300,00 for the year ended Dec.

31, 2009, the first year of operations. The partnership contractprovided that each partner may withdraw P5,000 on the last day of each month; both partners did so during the year.

The drawings are recorded by debits to the partners’ drawing accounts and shall not be considered in division of profit or loss. It is the intention of the partners that each partner’s share in the profit or loss be either credited or debited to the drawing account. 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). Leopoldo Medina invested P400,000 on January 1, 2009 and an additional P100,000 on April 1. Challoner Matero invested P800,000 on January 1 and withdrew P50,000 on July 1. These transactions and events are summarized in the following capital, drawing and income summary ledger accounts: L.

Medina, Capital C. Matero, Capital 400,000 1/1 7/1 P50,000 P800,000 1/1 100,000 4/1 L. Medina, Drawing C. Matero, Drawing 12/31 60,000 12/31 60,000 Income Summary 300,000 12/31 'An eye for an eye will make the whole world blind.'

(Mahatma Gandhi). A.

Partnership And Corporation Solution Manual Ballada

EQUALLY Journal Entry: Income Summary 300,000 L. Medina, Drawings 150,000 C. Matero, Drawings 150,000 To record to division of profits.

Medina, Drawings 90,000 C. Matero, Drawings 90,000 L. Medina, Capital 90,000 C. Matero, Capital 90,000 To close drawing account. 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi).

'An eye for an eye will make the whole world blind.' (Mahatma Gandhi) L. Medina, Capital 400,000 1/1 100,000 4/1 90,000 12/31 590,000 L.

Medina, Drawing 12/31 60,000 150,000 12/31 12/31 90,000 150,000 150,000 C. Matero, Capital 7/1 50,000 800,000 1/1 90,000 12/31 50,000 890,000 840,000 C. Matero, Drawing 12/31 60,000 150,000 12/31 12/31 90,000 150,000 150,000 Income Summary 12/31 300,000 300,000 12/31. Assume instead that Medina and Matero share profits and losses in a ratio of 60:40 and profit was P300,000, the profit would be divided as follows: Journal Entry: Income Summary 300,000 L. Medina, Drawings 180,000 C.

Matero, Drawings 120,000 To record to division of profits. Medina, Drawings 120,000 C. Matero, Drawings 60,000 L. Medina, Capital 120,000 C. Matero, Capital 60,000 To close drawing account.

'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi) L. Medina, Capital 400,000 1/1 100,000 4/1 120,000 12/31 620,000 L.

Medina, Drawing 12/31 60,000 180,000 12/31 12/31 120,000 180,000 180,000 C. Matero, Capital 7/1 50,000 800,000 1/1 60,000 12/31 50,000 860,000 810,000 C. Matero, Drawing 12/31 60,000 120,000 12/31 12/31 60,000 120,000 120,000 Income Summary 12/31 300,000 300,000 12/31. 'An eye for an eye will make the whole world blind.'

(Mahatma Gandhi) A. EQUALLY Assume that there is a loss of P200,000: Journal Entry: L. Medina, Drawings 100,000 C. Matero, Drawings 100,000 Income Summary 200,000 To record to division of losses. Medina, Capital 160,000 C. Matero, Capital 160,000 L.

Medina, Drawings 160,000 C. Matero, Drawings 160,000 To close the drawing accounts. 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi) L. Medina, Capital 12/31 120,000 400,000 1/1 100,000 4/1 120,000 500,000 380,000 L. Medina, Drawing 12/31 60,000 120,000 12/31 12/31 100,000 120,000 120,000 C.

Matero, Capital 7/1 50,000 800,000 1/1 12/31 120,000 170,000 800,000 630,000 C. Matero, Drawing 12/31 60,000 160,000 12/31 12/31 100,000 160,000 160,000 Income Summary 12/31 200,000 200,000 12/31. RATIO OF ORIGINAL CAPITAL INVESTMENTS Journal Entry: Income Summary 300,000 L. Medina, Drawings 100,000 C. Matero, Drawings 200,000 To record to division of profits. Medina, Drawings 40,000 C.

Matero, Drawings 140,000 L. Medina, Capital 40,000 C. Matero, Capital 140,000 To close drawing account.

Computations: L. Medina P300,000 x 400,000/1,200,000= P100,000 C. Matero P300,000 x 800,000/1,200,000= P200,000 P300,000 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). 'An eye for an eye will make the whole world blind.'

(Mahatma Gandhi) RATIO OF CAPITAL BALANCES AT THE BEGINNING OF THE YEAR. In this case, since the beginning is similar to the investment, the entries are the same. Journal Entry: Income Summary 300,000 L. Medina, Drawings 100,000 C.

Matero, Drawings 200,000 To record to division of profits. Medina, Drawings 40,000 C. Matero, Drawings 140,000 L.

Medina, Capital 40,000 C. Matero, Capital 140,000 To close drawing account.

Computations: L. Medina P300,000 x 400,000/1,200,000= P100,000 C. Matero P300,000 x 800,000/1,200,000= P200,000 P300,000.

RATIO OF CAPITAL BALANCES AT THE END OF THE YEAR. Journal Entry: Income Summary 300,000 L. Medina, Drawings 120,000 C.

Engineering Solution Manual

Matero, Drawings 180,000 To record to division of profits. Medina, Drawings 60,000 C.

Matero, Drawings 120,000 L. Medina, Capital 60,000 C. Matero, Capital 120,000 To close drawing account. Computations: L. Medina P300,000 x 500,000/1,250,000= P120,000 C. Matero P300,000 x 750,000/1,250,000= P180,000 P300,000 'An eye for an eye will make the whole world blind.'

(Mahatma Gandhi). 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi) RATIO OF AVERAGE BALANCES: Journal Entry: Income Summary 300,000 L. Medina, Drawings 114,000 C. Matero, Drawings 186,000 To record to division of profits. Medina, Drawings 54,000 C. Matero, Drawings 126,000 L.

Medina, Capital 54,000 C. Matero, Capital 126,000 To close drawing account. Computations: L. Medina P300,000 x 475,000/1,250,000= P114,000 C. Matero P300,000 x 775,000/1,250,000= P186,000 P300,000. COMPUTATION OF AVERAGE CAPITAL BALANCES LEOPOLDO MEDINA, CAPITAL 'An eye for an eye will make the whole world blind.'

(Mahatma Gandhi) Date Capital Acct. Balances Portion of the Year Unchanged Average Capital Balances 1/1 400,000 x 3/12 = 100,000 4/1 500,000 x 9/12 = 375,000 Average Capital 475,000. 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi) Date Capital Acct. Balances Portion of the Year Unchanged Average Capital Balances 1/1 800,000 x 6/12 = 400,000 7/1 750,000 x 6/12 = 375,000 Average Capital 775,000. Continuing the illustration of Medina and Matero Partnership with a profit of P300,000 for 2009 and capital balances as already shown, assume that the partnership agreement allowed 15% interest on the average capital account balances, with the balance to be divided equally.

The profit of P300,000 for 2009 is divided as follows: 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). Medina Matero Total 15% interest on Average Capital: Medina: P475,000 x 15% 71,250 Matero: P775,000 x 15% 116,250 Sub-total 187,500 Balance to be divided equally: Medina: P112,500 x 50% 56,250 Matero: P112,500 x 50% 56,250 Sub-total 112,500 Share of Partners in Profits 127,500 172,500 300,000 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi). 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi) RATIO OF AVERAGE BALANCES: Journal Entry: Income Summary 300,000 L. Medina, Drawings 127,500 C.

Matero, Drawings 172,500 To record to division of profits. Medina, Drawings 67,500 C. Matero, Drawings 112,500 L. Medina, Capital 67,500 C. Matero, Capital 112,500 To close drawing account. 'An eye for an eye will make the whole world blind.' (Mahatma Gandhi) L.

Medina, Capital 400,000 1/1 100,000 4/1 67,500 12/31 567,500 L. Medina, Drawing 12/31 60,000 127,500 12/31 12/31 67,500 127,500 127,500 C. Matero, Capital 7/1 50,000 800,000 1/1 112,500 12/31 50,000 912,500 862,500 C.

Matero, Drawing 12/31 60,000 172,500 12/31 12/31 112,500 172,500 172,500 Income Summary 12/31 300,000 300,000 12/31.

Solution Manual Balla Da

Chapter 3. 1.