Ruby and Anita Are Partners

question 19

Multiple Choice

Ruby and Anita are partners. Ruby has a capital balance of $250,000 and Anita has a capital balance of $200,000. Denis invests a building with a current market value of $150,000 to acquire an interest in the new partnership. Which of the following is true of the journal entry to record this transaction? (Assume no bonus to any partner.)

• A)Building will be debited for $150,000, Ruby, Capital and Anita, Capital will be credited for $75,000 each.
• B)Building will be debited for $150,000 and Denis, Capital will be credited for $150,000.
• C)Ruby, Capital and Anita, Capital will be debited for $75,000 each and Denis, Capital will be credited for $150,000.
• D)Ruby, Capital and Anita, Capital will be credited for $75,000 each and Denis, Capital will be debited for $150,000.

Identify organizational interventions to support employees through downsizing.

Recognize the immediate and insidious consequences of downsizing and restructuring.

Develop strategies for aligning strategic human resource planning with organizational strategy.

Propose specific approaches and methods for facilitating workforce downsizing effectively.

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Definitions:

Double Taxation

The taxation of the same income or financial transaction at two different levels, such as corporate profits and then again as dividends to shareholders.

Corporation

A corporation is a legal entity that is separate and distinct from its owners, offering limited liability protection to its shareholders, and is capable of owning property, entering into contracts, and being taxed.

Income Taxes

Taxes imposed by the government on the income earned by individuals and corporations.

Partnerships

A business structure where two or more individuals manage and operate a business in accordance with the terms and objectives set out in a Partnership Agreement.