The Scott Stewart and Rick Smith Partnership Earned a Net

question 16

Essay

The Scott Stewart and Rick Smith Partnership earned a net income of $90,000 for the current year.Beginning capital balances were $70,000 for Stewart and $140,000 for Smith.Prepare the closing entries to transfer net income to the partners' capital accounts based on the following independent net income agreements.
a_No mention of net income agreement.
b_Interest on beginning capital balances of 12%,balance divided in a ratio of 3:2,respectively.
c_Interest on beginning capital balances of 10%,secondly $45,000 to Stewart and $50,000 to Smith based on service and the balance divided equally.

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Definitions:

Sexual Harassment

Unwelcome sexual advances, requests for sexual favors, and other verbal or physical harassment of a sexual nature.

Work Engagement

The degree of enthusiasm and involvement an employee demonstrates towards their job and workplace.

Organizational Commitment

The level of an employee's psychological attachment to their organization, characterized by their loyalty and belief in the organization's goals and values.

Sexual Harassment

Unwanted sexual advances, requests for sexual favors, and other verbal or physical harassment of a sexual nature.