Partnership Accounting

Divide the final capital amounts from the information that has been

provided.

Expert Solution

Particulars		Turner		Roth		Lowe	Total
Initial Capital		$4,300		$14,900		$32,400	$51,600
Allocation of Loss	10%	-$8,860	40%	-$35,440	50%	-$44,300	-$88,600
Capital Balance after Gain (Loss)		-$4,560		-$20,540		-$11,900	-$37,000

Particulars		Turner		Roth		Lowe	Total
Allocation of Lowe Deficit to Turner and Roth	1/5	-$2,380	4/5	-$9,520		-$11,900
Capital Balance after deficit allocation		-$6,940		-$30,060			-$37,000
Amount to be repaid to partnership	10%	$3,700	40%	$14,800	50%	$18,500	-$37,000
Total		-$5,620		-$24,780		$6,600

Capital balances have been computed as required.

Soumik Mallick Choudhury answered 2 years ago

why is capability communication important in partnership accounting

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