Fred and Barney started a partnership. During Year 1, Fred i…

Fred and Barney started a partnership. During Year 1, Fred invested $14,500 in the business and Barney invested $23,000. The partnership agreement called for each partner to receive an annual distribution equal to 8% of his capital contribution. Any further earnings were to be retained in the business and divided equally between the partners. The partnership reported net income of $33,000 during Year 1. How will the $33,000 of net income be split between Fred and Barney respectively? (Hint: Consider both the cash withdrawals and allocation of remaining income.) FredBarneyA$ 13,840$ 13,160B$ 14,500$ 18,500C$ 16,500$ 16,500D$ 16,160$ 16,840

Kellogg, Incorporated purchased 200 shares of its own $20 pa…

Kellogg, Incorporated purchased 200 shares of its own $20 par value stock for $30 cash per share. Which of the following answers reflects how this purchase of treasury stock would affect Kellogg’s financial statements? Balance SheetIncome StatementStatement of Cash FlowsAssets=Liabilities+Stockholders’ EquityCash+Investment=Accounts Payable+Other Equity Accounts−Treasury StockRevenue−Expense=Net IncomeA.(4,000)+ = + −4,000 − = (4,000) FAB.(6,000)+6,000= + − − = 6,000 IAC.(6,000)+ = + −6,000 − = (6,000) FAD.(4,000)+4,000= + − − = 4,000 IA

Baltimore Company accepts a credit card as payment for $1,55…

Baltimore Company accepts a credit card as payment for $1,550 of services provided to a customer. The credit card company charges a 4% handling charge for its collection services. Select the answer that shows how the entry to record the event would affect Baltimore’s financial statements. Balance SheetIncome StatementStatement of Cash FlowsAssets=Liabilities+EquityRevenues−Expenses=Net IncomeA.$ 1,488= +$ 1,488$ 1,550−$ 62=$ 1,488 B.$ 1,488=$ 62+$ 1,426$ 1,488− =$ 1,488 C.$ 1,488=$ 62+$ 1,426$ 1,488− =$ 1,488$ 1,488 OAD.$ 1,550= +$ 1,550$ 1,550− =$ 1,550$ 1,550 OA

Extra Supplies had sales of $240,000 in Year 1. Extra warran…

Extra Supplies had sales of $240,000 in Year 1. Extra warrants its products and estimates warranty expense to be 3% of sales. Which of the following shows how the year-end adjusting entry would affect the company’s assets, liabilities, and stockholders’ equity? Total AssetsLiabilitiesStockholders’ EquityA.$ 240,000$ 7,200$ 232,800B. $ 7,200$ (7,200)C.$ 240,000 $ 240,000D. (7,200)$ 7,200