Goodman, Pinkman, and White formed a partnership on January…

Goodman, Pinkman, and White formed a partnership on January 1, 2020, and made capital contributions of $125,000 (Goodman), $175,000 (Pinkman), and $250,000 (White), respectively. With respect to the division of income, they agreed to the following: (1) interest of an amount equal to 10% of the that partner’s beginning capital balance for the year; (2) annual compensation of $15,000 to Pinkman; and (3) the remainder of the income or loss to be split among the partners in the following percentages: (a) 20% for Goodman; (b) 40% for Pinkman; and (c) 40% for White. Net income was $200,000 in 2020 and $240,000 in 2021. Each partner withdrew $1,500 for personal use every month during 2020 and 2021.What was White’s capital balance at the end of 2021?

            The following account balances were available fo…

            The following account balances were available for the Perry, Quincy, and Renquist partnership just before it entered liquidation:         Cash $ 90,000   Liabilities $ 170,000 Noncash assets   300,000   Perry, capital   70,000         Quincy, capital   50,000         Renquist, capital   100,000 Total $ 390,000   Total $ 390,000   Included in Perry’s Capital account balance is a $20,000 partnership loan owed to Perry. Perry, Quincy, and Renquist shared profits and losses in a ratio of 2:4:4. Liquidation expenses were expected to be $15,000. All partners were insolvent. For what amount would the noncash assets need to be sold in order for Quincy to receive some cash from the liquidation?                         A)    Any amount in excess of $170,000.                        B)    Any amount in excess of $190,000.            C)    Any amount in excess of $260,000.            D)    Any amount in excess of $280,000.            E)    Any amount in excess of $300,000.

The capital account balances for Donald & Hanes LLP on Janua…

The capital account balances for Donald & Hanes LLP on January 1, 2021, were as follows:         Donald, capital $ 200,000 Hanes, capital   100,000   Donald and Hanes shared net income and losses in the ratio of 3:2, respectively. The partners agreed to admit May to the partnership with a 35% interest in partnership capital and net income. May invested $100,000 cash, and no goodwill was recognized. What is the balance of May’s capital account after the new partnership is created?                         A)    $84,000.              B)    $100,000.            C)    $140,000.            D)    $176,000.            E)    $200,000.