HomeworkLib
Question

the calvin-dogwood partnership owns inventory that was purchased for $90,000 the inventory has a current replacement...

the calvin-dogwood partnership owns inventory that was purchased for $90,000 the inventory has a current replacement cost of $85,900 and is priced to sell for $125,00. at what amount should the inventory be recorded in the accounts of the new partnership if alexis is to be admited to the partnership?

a. 129,100

b. 85,900

c. 90,000

d. 126,000

e. none of the above

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

the inventory to be recorded in the accounts of the new partnership if Alexis is to be admitted to the partnership is at its current replacement cost.

The answer is

b. 85,900

0 0
Add a comment
Know the answer?
Add Answer to:
the calvin-dogwood partnership owns inventory that was purchased for $90,000 the inventory has a current replacement...
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. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • The Craig-Doran Partnership owns inventory that was purchased for $85,000, has a current replacement cost of...

    The Craig-Doran Partnership owns inventory that was purchased for $85,000, has a current replacement cost of $54,500, and is priced to sell for $98,000. At what amount should the inventory be recorded in the accounts of the new partnership if Alexis is to be admitted? a.$79,167 b.$54,500 c.$85,000 d.$98,000

  • A partnership of attorneys in the St. Louis, Missouri, area has the following balance sheet accounts as of January 1, 20...

    A partnership of attorneys in the St. Louis, Missouri, area has the following balance sheet accounts as of January 1, 2018: Assets $ 458,000 Liabilities $ 138,000 Athos, capital 120,000 Porthos, capital 110,000 Aramis, capital 90,000 According to the articles of partnership, Athos is to receive an allocation of 50 percent of all partnership profits and losses while Porthos receives 30 percent and Aramis, 20 percent. The book value of each asset and liability should be considered an accurate representation...

  • Burnt Red Company Balance Sheet December 31, 20Y2 Assets Total current assets $350,000 Replacement Cost A...

    Burnt Red Company Balance Sheet December 31, 20Y2 Assets Total current assets $350,000 Replacement Cost Accumulated Depreciation Book Value Property, plant, and equipment: Land $250,000 $50,000 $200,000 Buildings 450,000 160,000 290,000 Factory equipment 375,000 140,000 235,000 Office equipment 125,000 60,000 65,000 Patents 90,000 Goodwill 60,000 10,000 50,000 Total property, plant, and equipment $1,350,000 $420,000 $930,000 1. Fixed assets should be reported at 2. Land 3. Patents and goodwill should be 4, Goodwill should be Calculator eBook Chapter 10 Burnt Red...

  • QUESTION 35 Ward has a 50% interest in the PW partnership in the current year, the...

    QUESTION 35 Ward has a 50% interest in the PW partnership in the current year, the partnership had sales of $500,000, cost of goods sold of $340,000 and $90,000 in operating expenses Ward withdrew $30.000 from the partnership during the year but his partner did not withdraw anything War r ied to recognize any income from the parte Wand must report 30.000 gous income from the parent for the year Word must report 36.000 grom income from the partie Wwd...

  • How to calculate the each individual's basis of the assets and liabilities to the partnership or...

    How to calculate the each individual's basis of the assets and liabilities to the partnership or corporation ? Alternative Forms of Business Organizations Presentation You are a partner in a local accounting firm and have been engaged by Andy Taylor and Floyd Barber to assist them in starting a new business. This business will sell new and used bicycles to the general public. Andy has been successfully selling bicycles out of his garage and believes that he needs a retail...

  • Current Attempt in Progress On July 1.2019. Carla Vista Co, purchased new equipment for $90,000. Its...

    Current Attempt in Progress On July 1.2019. Carla Vista Co, purchased new equipment for $90,000. Its estimated useful life was 8 years with a $10,000 salvage value. On December 31, 2022, the company estimated that the equipment's remaining useful life was 10 years, with a revised salvage value of $5,000. Prepare the journal entry to record depreciation on December 31, 2019. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required,...

  • Lower-of-Cost-or-Market Rule Awards Etc. carries an inventory of trophies and ribbons for local sports teams and...

    Lower-of-Cost-or-Market Rule Awards Etc. carries an inventory of trophies and ribbons for local sports teams and school clubs. The cost of trophies has dropped in the past year, which pleases the company except for the fact that it has on hand considerable Inventory that was purchased at the higher prices. The president is not pleased with the lower profit margin the company is earning. "The lower profit margin will continue until we sell all of this old inventory," he grumbled...

  • 1. At the start of the current year, Dave Company had a credit balance in the...

    1. At the start of the current year, Dave Company had a credit balance in the Allowance for Doubtful Accounts of $6,000. At the end of the year, a provision of 2% of sales was made for estimated bad debts. Sales for the year were $2,000,000 and $37,000 of accounts receivable were written off as worthless. No recoveries of accounts previously written off were made dring the year. After the year-end bad debts adjustment, The year-end financial statements should show:...

  • The following transactions occurred during March 2021 for the Wainwright Corporation. The company owns and operates...

    The following transactions occurred during March 2021 for the Wainwright Corporation. The company owns and operates a wholesale warehouse. 1. Issued 50,000 shares of common stock in exchange for $500,000 in cash. 2. Purchased equipment at a cost of $60,000. $20,000 cash was paid and a notes payable to the seller was signed for the balance owed. 3. Purchased inventory on account at a cost of $118,000. The company uses the perpetual inventory system. 4. Credit sales for the month...

  • The followlng transactions occurred during March 2018 for the Walnwright Corporation. The company owns and operates...

    The followlng transactions occurred during March 2018 for the Walnwright Corporation. The company owns and operates a wholesale warehouse. 1 Issued 50,000 shares of common stock In exchange for $500,000 In cash 2 Purchased equipment at a cost of $60,000. $20,000 cash was pald and a note payable was slgned for the balance owed. 3. Purchased Inventory on account at a cost of $118,000. The company uses the perpetual Inventory system. 5. Pald $7000 In rent on the warehouse building...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT