In Their Business Partnership,George Has an Ownership Interest of 59

question 45

Multiple Choice

In their business partnership,George has an ownership interest of 59% and Ben has an ownership interest of 41%.In the current year,they purchase equipment for $10,100.In order to finance the equipment purchase,George makes a contribution of $7,400 and Ben makes a contribution of $2,700 to the partnership.Based on the information provided,which of the following is true regarding the partnership balance sheet?

• A)Both George,Capital and Ben,Capital will increase by $10,100.
• B)George,Capital will increase by $7,400 and Ben,Capital will increase by $2,700.
• C)George,Capital will increase by $10,100 and Ben,Capital will remain unchanged.
• D)George,Capital will increase by $5,959 and Ben,Capital will increase by $4,141.

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Definitions:

Good Performance

An elevated level of achievement where an employee meets or exceeds the expectations and job requirements set by an employer.

Effective Compensation System

A pay structure designed to attract, retain, and motivate employees while supporting the strategic goals of an organization.

Company Success

The achievement of a business in meeting its goals and objectives, which can include profitability, growth, and market share.

Organizations

Organizations are structured groups of people who work together to achieve common goals or fulfill a specific function.