Horngren’s Accounting, Volume 2, 11th Canadian Edition by Tracie Miller-Nobles Solution manual
General Journal
DateAccount Titles and ExplanationsPost. Ref.DebitCredit
2017
Jun.10Cash 45,000
Accounts Receivable 60,000
Office Furniture 60,000
Adam Buckner, Capital 84,000
Amber Kwan, Capital 81,000
Dec.31Income Summary 195,000
Adam Buckner, Capital 97,500
Amber Kwan, Capital 97,500
2018
Jan.1Cash 180,000
Adam Buckner, Capital 9,000
Amber Kwan, Capital 9,000
Heidi Nguen, Capital 162,000
Dec.31Income Summary 480,000
Adam Buckner, Capital 149,925
Amber Kwan, Capital 162,975
Heidi Nguen, Capital 167,100
2019
Oct.10Adam Buckner, Withdrawals 84,000
Amber Kwan, Withdrawals 57,000
Cash 141,000
Dec.31Adam Buckner, Capital 84,000
Amber Kwan, Capital 57,000
Adam Buckner, Withdrawals 84,000
Amber Kwan, Withdrawals 57,000
Income Summary 255,000
Adam Buckner, Capital 80,636
Amber Kwan, Capital 119,884
Heidi Nguen, Capital 54,480
2020
Jan.02Heidi Nguen, Capital 383,580
Adam Buckner, Capital 50,148
Amber Kwan, Capital 33,432
Cash 300,000
(continued) P12-6A
Req. 2
B&K CONSULTING
Balance Sheet (partial)
January 2, 2020
Partners’ Equity
Adam Buckner, capital$387,209
Amber Kwan, capital 446,791
Total partners’ equity$834,000
(35–45 min.) P12-7A
Req. 1a
Malkin, Neale, and Staal
Summary of Liquidation Transactions
Cash +Noncash Assets =LiabilitiesCapital
Malkin
+ (20%)Neale
+ (40%)Staal
+ (40%)
Balances before sale of assets$ 41,000$367,000$151,000$57,500$158,500$41,000
Sale of assets and sharing of gain 420,000 (367,000) 10,600* 21,200* 21,200*
Balances461,0000151,00068,100179,70062,200
Payment of liabilities (151,000) (151,000)
Balances310,00000 68,100 179,700 62,200
Disbursement of cash to partners (310,000) (68,100) (179,700)(62,200)
Balances$ 0$ 0$ 0$ 0$ 0$ 0