Preview

Accounting for Partnership

Satisfactory Essays
Open Document
Open Document
358 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Accounting for Partnership
ACCOUNTING FOR
PARTNERSHIPS
ADINDA L.S

CASES
1.
2.
3.
4.
5.

Forming a partnership
Dividing income
Admitting a partner
Liquidating partnership
Statement of partnership equity

Forming a partnerships
Cash
Account Receivables
Merchandise Inventory
Equipment
Office equipment
Machine
Land
Building

xxx xxx xxx xxx xxx xxx xxx xxx AFDA
Account Payable
Notes Payable
A Capital

xxx xxx xxx xxx Dividing Income

Dividing Income
Income Summary
A Capital
B Capital
C Capital

xxx xxx xxx xxx Admitting a Partner
• Revaluation of Asset
Revaluasi dapat menambah/mengurangi jumlah modal dan aset yang direvaluasi.
Sehingga jurnalnya harus diperhatikan, apakah harus di debet atau di kredit!
Contoh: (apabila revaluation of asset menyebabkan kenaikan pada aset dan modal) Merchandise Inventory

xxx

Equipment
Machine
Building

xxx xxx xxx
A Capital
B Capital

xxx xxx Admitting a Partner (con’t)
• Purchasing an interest
New Partner Capital
Old Partner Capital

xxx xxx • Contributing asset/liability to partnership
Cash
xxx
Equipment
xxx
Account Payable xxx New Partner Capital xxx Admitting a Partner (con’t)
• BONUS

– For New Partner bonus diberikan ke partner baru karena keterampilan yang dimilikinya Cash xxx A Capital xxx B Capital xxx C Capital xxx – For Old Partner bonus diberikan kepada partner lama sebagai kompensasi keuntungan yang akan didapat oleh partner baru di kemudian hari
Cash
xxx
A Capital xxx B Capital xxx C Capital xxx Keterangan : A dan B adalah Partner Lama, C adalah Partner Baru

Statement of Partnerships Liquidation
PT ABC
Statement of Partneships Liquidation
For period December 1-31, 2010

Liquidating Partnership
• Sell of assets
- Gain
Cash
NCA
Gain on Realization
-Loss
Cash
Loss on Realization
NCA

xxx

xxx

xxx xxx xxx xxx Liquidating Partnership (con’t)
• Distribute any Gain/Loss
- Gain on
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Balance Sheet and Separate Legal Entity
    • 847 Words
    • 4 Pages

    Balance Sheet and Separate Legal Entity

    Which of the following is not a common way that managers use the balance sheet?…

    • 847 Words
    • 4 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    Legt2741 Week 4
    • 1192 Words
    • 6 Pages

    Legt2741 Week 4

    The process of establishing a partnership is informal and inexpensive. Commonly established under a written contract but at times can be established simply without any express oral or written consent, so long as it satisfies the definition outlined in section 1.1 of the partnership act: “Partnership is the relation which exists between persons carrying on a business in common with a view of profit” Advantage(A)…

    • 1192 Words
    • 6 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Chapter 5 Accounting
    • 551 Words
    • 3 Pages

    Chapter 5 Accounting

    Merchandise Inventory: An asset reported on the balance sheet and contains the cost of products purchased for sale. Products that a company owns and intends to sell.…

    • 551 Words
    • 3 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    Corporation and Partnership
    • 2171 Words
    • 9 Pages

    Corporation and Partnership

    Salta Company installs a manufacturing machine in its factory at the beginning of the year at a cost of $87,000. The machine’s useful life is estimated to be 5 years, or 400,000 units of product, with a $7,000 salvage value. During its second year, the machine produces 84,500 units of product. Determine the machines’ second year depreciation under the units of production method:…

    • 2171 Words
    • 9 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Engagement Partner Disclosure The CPA Journal
    • 2706 Words
    • 13 Pages

    Engagement Partner Disclosure The CPA Journal

    A & A U standards setting C C O U N T I N G D I T I N G Disclosure of the Engagement Partner in the Audit Report…

    • 2706 Words
    • 13 Pages
    Powerful Essays
    Read More
  • Good Essays

    Tax Accounting
    • 10214 Words
    • 41 Pages

    Tax Accounting

    Look at Treas. Reg. Section 1.461-0 for now to get a handle on what we are doing.…

    • 10214 Words
    • 41 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Business Accounting
    • 1373 Words
    • 6 Pages

    Business Accounting

    I will now explain what each of these ratio 's mean to Sharma and Ryan, and how it effects their business 's overall financial performance.…

    • 1373 Words
    • 6 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    Accounting Practice Question
    • 5497 Words
    • 22 Pages

    Accounting Practice Question

    4. Which of the following is not true of a general ledger trial balance? A. If it balances, it proves that the total debits equal total credits. B. It facilitates the preparation of financial statements. C. If it balances, it proves that no errors have been made in recording transactions. D. It will not detect an error where the accounts debited and credited are reversed in recording a particular transaction.…

    • 5497 Words
    • 22 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Accounts: Balance Sheet and Dapper-dons Partnership
    • 968 Words
    • 4 Pages

    Accounts: Balance Sheet and Dapper-dons Partnership

    Prentice Hall's Federal Taxation 2007: Comprehensive, by Thomas R. Pope, Kenneth E. Anderson, and John L. Kramer, eds. Published by Prentice…

    • 968 Words
    • 4 Pages
    Satisfactory Essays
    Read More
  • Satisfactory Essays

    Accounting for Business
    • 379 Words
    • 2 Pages

    Accounting for Business

    A. Should the company use a sales journal? Why or why not? If a sales journal should be used, what procedures would you recommend to record entries in it and to despatch invoices to customers as soon as possible after deliveries?…

    • 379 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Better Essays

    Limited Liability Corporation and Partnership
    • 900 Words
    • 4 Pages

    Limited Liability Corporation and Partnership

    In the United States, limited liability companies increased rapidly throughout the past 10 years. These structures permit businesses to decrease federal tax liabilities by federal pass-through provisions (Bean & Bilyeu, 1997). Limited liability can apply to any non-corporate business, in any state, and provides characteristics of a corporation and a partnership. Individual states regulate the operations of the LLCs. However, companies with limited liability are different and distinct from a sole proprietorship, partnership, and corporation. The purpose of the subject is to explain the roles of limited liability corporations (LLC) and partnerships (LLP), and discuss under what circumstances one would choose to use an LLC or LLP to establish his or her own business.…

    • 900 Words
    • 4 Pages
    Better Essays
    Read More
  • Powerful Essays

    Accounting in Context
    • 4961 Words
    • 142 Pages

    Accounting in Context

    Please use email as the first form of contact. Students are required to send all enquiries about the unit to the staff member’s email above. Consultation times can be arranged by emailing your lecturer. A suitable time will then be arranged between you and the lecturer.…

    • 4961 Words
    • 142 Pages
    Powerful Essays
    Read More
  • Good Essays

    Chapter 6 Accounting
    • 479 Words
    • 2 Pages

    Chapter 6 Accounting

    Weighted average cost flow assumption: Weighted average assumes that cost flow at an average of the costs available.…

    • 479 Words
    • 2 Pages
    Good Essays
    Read More
  • Powerful Essays

    Accounting - Partnership Agreement Clauses
    • 5695 Words
    • 23 Pages

    Accounting - Partnership Agreement Clauses

    As Lucy and Gemma start there new partnership agreement from Lucy’s old business called ‘Lucy’s Catering and combine their assets and liabilities to form a new partnership called ‘Awesome Catering’, Lucy’s old business, ‘Lucy’s Catering’ will have Goodwill as an asset. Goodwill is the monetary value given to the reputation or customer loyalty of Lucy’s old catering business, Lucy’s Catering and is an intangible asset contributing to catering sales. During the formation of Lucy’s catering where assets and liabilities are joined with the assets and liabilities of Gemma, the goodwill of Lucy’s catering is also included in the formation with a value of $31,000 which means Lucy’s catering has an excellent reputation and customer loyalty to the value of $31000, and this may contribute to why Lucy’s Catering was so successful for Lucy as well as contributing to the future success of Awesome Catering.…

    • 5695 Words
    • 23 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Introduction to Accounting for Entrepreneurs
    • 1934 Words
    • 18 Pages

    Introduction to Accounting for Entrepreneurs

    Introduction to Accounting MBA 643: INTRODUCTION TO ENTREPRENEURSHIP Introduction to Accounting LECTURE SERIES WEEK 7, LECTURE 8 1 Introduction to Accounting Learning Objectives This Chapter would enable you to understand: Definitions of Accounting Meaning of Accounting Attributes of Accounting Accounting Process Branches of Accounting Book Keeping, Accounting and Accountancy Difference between Book Keeping and Accounting 2 Introduction to Accounting Learning Objectives Objectives of Accounting Functions of Accounting Advantages of Accounting Limitations of Accounting Accounting Information and its' Types Users of Accounting Information Systems of Accounting 3 Introduction to Accounting DEFINITION OF ACCOUNTING "Accounting is the art of recording, classifying and summarising in a significant manner and in terms of money; transactions and events which are, in part at least, of a financial character, and interpreting the results thereof." -American Institute of Certified Public Accountants 4 Introduction to Accounting DEFINITION OF ACCOUNTING "Accounting classifying is the business science of transactions recording and and events, primarily of a financial character, and the art of making significant summaries, analysis and interpretations of those transactions and events and communicating the results to persons who must make decisions or form judgment." -Smith and Ashburne 5 Introduction to Accounting DEFINITION OF ACCOUNTING "Accounting is the process of identifying, measuring and communicating economic information to permit informed judgments and decisions by users of the information."…

    • 1934 Words
    • 18 Pages
    Powerful Essays
    Read More

Related Topics