Nick is admitted to an existing partnership by investing cash. Nick agrees to pay a bonus for his ownership interest because of the past success of the partnership. When Nick's investment in the partnership is recorded, a. a bonus will be credited for the amount of cash he invested.
b. his capital account will be credited for more than the cash he invested.
c. his capital account will be credited for the amount of cash he invested.
d. a bonus will be distributed to the old partners' capital accounts.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Nick is admitted to an existing partnership by investing cash. Nick agrees to pay a bonus for his ownership interest because of the past ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Between 1986 and 1998 the De Beers company controlled the world diamond market. De Beers and its affiliated association of producers restricted diamond sales to maximize profits.
Answers (1)
It is receiving $3,000/month from a disability income policy in which T's employer had paid the premiums. How are the $3,000 benefit payents taxable?
Answers (2)
What does s1 stand for in the formula to calculate moving averages?
Answers (1)
Kramer Industries has cash of $ 42 comma 000 ; net Accounts Receivable of $ 47 comma 000 ; shortminusterm investments of $ 13 comma 000 and inventory of $ 30 comma 000.
Answers (1)
Magnetic-optical corporation offers a variety of share-based compensation plans to employees. under its restricted stock award plan, the company on january 1, 2013, granted 4 million of its $1 par common shares to various division managers.
Answers (2)
New Questions in Business
If profits are positive in the short run in a perfectly competitive industry, which of the following would you NOT expect to happen as the market moves to the long run? A. Each firm will decrease output. B. Profits of each firm will fall. C.
Answers (1)
A surplus means a (n): a. situation where the current market price is too low. b. excess supply of the product at the current price. c. situation where the quantity supplied is less than the quantity demanded. d.
Answers (2)
Brief Exercise 13-05 Pronghorn Inc.'s $11 par value common stock is actively traded at a market price of $14 per share. Pronghorn issues 5,900 shares to purchase land advertised for sale at $77,000.
Answers (1)
A cow has just given birth in a pen. Travis needs to place more straw in the pen, so he hops in the pen and distributes the straw. Are his actions safe? A.) Safe B.) Unsafe
Answers (1)
Which person is responsible for the financial support of the production and, working closely with the director, also contributes to many "directorial" decisions in the production process?
Answers (1)