# Accounting 102

posted by .

Turner and Isham agreed to form a partnership. Turner contributed \$ 200,000 in cash, and Isham contributed assets with a fair market value of \$ 400,000. The partnership, in its initial year, reported net income of \$ 120,000. Assume that the partnership agreement states that Turner and Isham are to receive salaries of \$ 20,000 and \$ 24,000, respectively; that Turner is to receive 6 percent interest on his capital balance at the beginning of the year; and that the remainder of income and losses are to be shared equally. Calculate the distribution of the income or losses under the following conditions:
1.Income totals \$ 120,000.
2.Income totals \$ 48,000.
3.There is a loss of \$ 2,000.
4.There is a loss of \$ 40,000.

## Similar Questions

1. ### Accounting

Anybody out there who can help enlighten me with the following problem PLEASE don't hesitate :) TIA.. The Struter Partnership has total partners' equity of \$510,000, which is made up of Main, Capital, \$400,000, and Frist, Capital, …
2. ### accounting

Assets Cash (Net Effect) \$35,000 20,000 +15,000 A/R 33,000 14,000 +19,000 Merchandise Inventory 27,000 20,000 +7,000 PPE 60,000 78,000 -18,000 Accumulated Depreciation (29,000) (24,000) ?
3. ### accounting.pls help me

Is anyone can help me to solve this problem beloww. thank you very much. PROBLEM 1: On Jan 1, 2011, the Rhiri, Brit & Keisha partnership is formed. Rhiri and Brit contribute cash of \$30,000 and \$20,000 respectively, while Keisha contributes …
4. ### accounting

please can you help how to get the answers fpr this problem solving .. I am really could not get the correct answer. problem: On Jan 1, 2011, the Rhiri, Brit & Keisha partnership is formed. Rhiri and Brit contribute cash of \$30,000 …
5. ### accounting

kindly please help me. B1, G1, and P1 formed a partnership. They agreed that B1 will receive a bonus of 10% of partnership net income. B1 and G1 will receive salary allowances of \$10,000 and \$8,000, respectively, and the remaining …
6. ### Accounting

For the current year, Sheila Jones had adjusted gross income of \$100,000. During the year, she contributed \$6,000 to her church and an additional \$3,000 to qualified charities. She also contributed religious artwork with a fair market …
7. ### tax

For the current year, Sheila Jones had adjusted gross income of \$100,000. During the year, she contributed \$6,000 to her church and an additional \$3,000 to qualified charities. She also contributed religious artwork with a fair market …
8. ### Account

For the current year, Sheila Jones had adjusted gross income of \$100,000. During the year, she contributed \$6,000 to her church and an additional \$3,000 to qualified charities. She also contributed religious artwork with a fair market …