Alex, Brad, and Carl Are Partners

question 132

Multiple Choice

Alex, Brad, and Carl are partners. The profit and rule sharing rule between them is 4:3:3 in the alphabetical order. The partnership incurs a net loss of $100,000. Before preparing the closing journal entry the:

• A)Income Summary account will have a debit balance of $100,000.
• B)Alex, Capital account will have a debit balance of $40,000.
• C)Alex, Capital account will have a credit balance of $40,000.
• D)Carl, Capital account will have a debit balance of $30,000.

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Definitions:

Employees' Reaction

How workers respond, both emotionally and behaviorally, to changes, policies, or situations in the workplace.

Managerial Communication

The process through which managers exchange information with their teams, superiors, and other stakeholders, effectively guiding and coordinating activities.

Lack Of Openness

The reluctance or failure to share thoughts, information, or feelings freely within a group or organization.

Effective Communication

The ability to convey information to others clearly and unambiguously, ensuring mutual understanding.