Rex and Kelsey are partners who share income in the ratio of 3:2 (3/5 to Rex and 2/5 to Kelsey). Their capital balances are $95,000 and $140,000, respectively, on January 1. The partnership generated net income of $40,000 for the year. What is Rex’s capital balance after closing the revenue and expense accounts to the capital accounts?
Rex and Kelsey are partners who share income in the ratio of 3:2 (3/5 to Rex and 2/5 to Kelsey). Their capital balances are $95,000 and $140,000, respectively, on January 1. The partnership generated net income of $40,000 for the year. What is Rex’s capital balance after closing the revenue and expense accounts to the capital accounts?
Chapter15: Partnership Accounting
Section: Chapter Questions
Problem 1PA: The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after...
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Rex and Kelsey are partners who share income in the ratio of 3:2 (3/5 to Rex and 2/5 to Kelsey). Their capital balances are $95,000 and $140,000, respectively, on January 1. The
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