Accounting Answers

Get yourselves into group. Each group is going to initiate a Partnership business. Discuss the product line of partnership business your group would like to commence. 

You are required to include below details in your assignment:

a) Describe the main features of the partnership agreement

-Name of the Firm/Partner’s names

-Type of business and business address

-The amount of capital contributed by each partner

-Ratio of profit/loss allocation between partners

-Salary for active partners

-Interest on capital to each partner

-Interest on drawing for each partner

b) Prepare the partnership income statement and profit and loss appropriation account for your business.(must include the journal, ledger and Trial balance)

c) Prepare the partnership Statement of Financial Position for your business.

Debit Lease Receivable

Credit Unearned Lease Rental Income

• Does this journal entry mean Prepayment for the use or occupation of property? Right? Please correct me if its needed.

The gross profit of a firm is $3 600, bad debts $100,rent paid $120, rent prepaid $20, general expenses$80 and discount received $110. The net profit is

Hi, I am writing my Management Accounting assignment and I need to show Fixed and Variable costs of a business. I am using a dropshipping model for business and I have a cost of Shopify transaction cost per order, which is 2.9%+0.3 USD, so when a customer buys a product of 79.99 USD , I will get charged by Shopify - the transaction cost, which will be 2.62 USD. Now, I wonder where to put that cost. At first I put it in Fixed costs because I was thinking it doesn't depend on production so it shouldn't be in Fixed. Now, I put it in Variable because if I "sell" a few products more a month , the amount of transaction cost is growing. I don't know what to do, PLEASE HELP ME :(

Balance b/d 40,000 Payments to suppliers 492,020 Cash sales 170,000 Cash purchases 32,500 Receipts from debtors 458,560 Rent 57,500 Motor vehicle 300,000 Fixtures 220,000 Bank interest 2,500 Rates 8,500 Commission 73,000 Wages 66,000 Balance c/d 53,960 General office expenses 11,500 Loan 78,000 Drawings 132,000 1,098,020 1,098,020 List of balances: Details Jan 1 Dec 31 Creditors 83,200 91,030 Debtors 94,500 82,400 Stock 75,500 95,600 Loan 194,000 116,000 Building 340,000 340,000 Motor vehicle 720,000 400,000 Fixtures 0 210,000 Rates prepaid 4,600 7,600 Commission owing 21,500 25,000 Wages owing 14,500 22,000 Additional notes: ▪ Stock taken for personal use amounted to $9,500 ▪ Amounts written off as bad debts totaled $8,500 ▪ Discounts given to credit customers amounted to $3,400 ▪ The motor vehicle sale was at net book value. derive the trial balance, statement of profit or loss, and statement of financial position.

Debit Premium

Credit Interest Expense

• What does this journal entry mean?

Analyze the annual reports of Flour Mills of Fiji (2020), RB Patel Ltd (2020) and Paradise Beverages Ltd (2019) from South Pacific Stock Exchange (SPSE) and answer the following questions. 

1.     Calculate the share value using Dividend Growth Model, assuming dividend will grow 3% for Flour Mills of Fiji, 6% for RB Patel Ltd and 9% for Paradise Beverages constantly for the companies on their respective base year. 

2.     Calculate the Earnings Per Share (EPS) and the Market Capitalization for each of the companies. 

3.     Comment on the share value of the companies given the Dividend Growth Model (Question 1) and EPS (Question 2).  

Debit Intercompany Cost of Goods Sold

Credit Inventory

Debit COGS

Credit Inventory

Are these two journal entries the same thing? (The First Journal is based on the Intercompany Transactions Chapter.) Thank you.

Debit Cash

Credit Investment in Investee

• What does this journal entry mean? Are you receiving cash because you sold the investment.

Please correct me my statement if its needed to be corrected. Thank you.

Debit Cash

Credit Dividend Income

• What is this journal entry mean? You are receiving cash and receiving revenue.

Debit Investment in Investee

Credit Equity in earnings

• What is this journal entry mean? You purchase investment and a sale occurs at the same time.

Debit Cash

Credit Investment

Credit Dividend Income

• What does this journal entry mean? You sold the investment and received cash in that investment. How does Dividend Income come into play?

Debit Equity in Earnings

Credit Investment in Investee

• What does this journal entry mean?

Debit Accounts Receivable

Credit Sales Revenue

• What does this journal entry mean? You sold services/product and you haven't received the money yet.
• For example, a company sells $5,000 of consulting services to a customer on credit. So, you sold the consulting services, but you haven't received the money yet. Your Asset Account Increases and your Revenue Account increases.

What does it mean when you Debit a Revenue Account?