How is the recourse note allocated to partners bases

Assignment Help Cost Accounting
Reference no: EM13539868

CCC Partnership borrowed $100,000 on a five-year recourse note from a local bank. It also purchased land for $60,000, putting $10,000 down and signing a qualified nonrecourse loan secured by the land for the balance. The partners' interests in partnership profits and losses are as follows:

Partner

Loss

Profit

Carol (general partner)

25%

50%

Charles (limited partner)

40%

25%

Charlotte (limited partner)

35%

25%

a. How is the $100,000 recourse note allocated to the partners' bases?

b. How is the $50,000 nonrecourse note allocated to the partners' bases?

c. How would your answers change if Carol, Charles, and Charlotte were all general partners?

Reference no: EM13539868

Questions Cloud

Used in a single slit experiment with light of wavelength : A slit of width 2.0 ?m is used in a single slit experiment with light of wavelength 650 nm. If the intensity at the central maximum is Io, what is the intensity 10° from the center?
Determine the corporations financial accounting income : Determine the corporations financial accounting income if the gain on the sale of the land is only $6,000 and depreciation is $32,000 under financial accounting rules.
Evaluate the total angular displacement of the propeller : The drive propeller of a ship starts from rest and accelerates at 2.69 x 10-3 rad/s2 for 2.80 x 103 s. Find the total angular displacement of the propeller
Relative to a stationary observer : Relative to a stationary observer, a moving object
How is the recourse note allocated to partners bases : How is the $100,000 recourse note allocated to the partners bases and how is the $50,000 nonrecourse note allocated to the partners' bases?
How much work has the pitcher done on the ball : A 0.144 kg baseball leaves a pitcher's hand at a speed of 22.5 m/s. If air drag is negligible, how much work has the pitcher done on the ball by throwing it
Difference in allocation of liabilities : Illustrate the difference in allocation of liabilities to these three partners - Explain the difference in recourse and nonrecourse liabilities when distinguishing between general and limited partners
Calculate the change in the specific helmholtz function : A van der Waals gas undergoes an isothermal expansion from specific volume v1 to specific volume v2. Calculate the change in the specific Helmholtz function for this process.
What are the results of the sale of her interest : For each of the years, determine Sally's deductible and nondeductible (suspended) losses. Explain the reason for the nondeductibility of any losses. What are the results of the sale of her interest

Reviews

Write a Review

Cost Accounting Questions & Answers

  Determine the average return and the standard deviation

Which stock has the highest expected return and which one has the highest risk in terms of volatility and determine the average return and the standard deviation of returns for each stock

  Components of net position for proprietary funds

Which of the subsequent properly portrays the components of net position for proprietary funds?

  Advise as to the liability of all the parties

Write a report on given case study and Advise as to the liability of ALL the parties both under common law and the Corporations Law.

  Find the equity in income of sacco for 2010

uppose Dawson has the ability to significantly influence the operations of Sacco-Find the equity in income of Sacco for 2010

  The bonds payable would be included in which component

The bonds were issued at par, and the government intends to service the bonds from Enterprise Fund revenues. At year-end, none of the bond proceeds have been spent. The bonds payable would be included in which component of net assets.

  What are internal sources of cash

Which method of calculating cash flow from operations requires the adjust of net income for deferrals, accruals, noncash, and nonoperating expenses?

  Conduct a performance audit to learn

Convention center revenue would be sufficient to cover all expenses, including debt service.Yet, in its first five years of operation, the center consistently reported operating deficits.

  What cost amount of direct materials was charged

What cost amount of direct materials was charged to Job 3318 - Marys applies overhead to production at a predetermined rate of 80 percent based on direct labor cost.

  How much common and preferred stockholders should received

On May 1, 2010, Kirmer Corp purchases $450,000 of 12% bond with interest payable on January 1 and July 1 for $422,800 plus accrued interest. The bonds mature on January 1, 2016. Amortization is recorded when interest is received by straight line m..

  How many minutes of mixing machine time would be required

How many minutes of mixing machine time would be required to satisfy demand for all four products and how much of each product should be produced to maximize net operating income? (Round off to the nearest whole unit.)

  Tax consequences of the liquidation distribution

Discuss the similarities and differences between the tax consequences of the operating distribution and the tax consequences of the liquidation distribution.

  Evaluate the maximum depreciation expense

Evaluate the maximum depreciation expense

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd