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Question - The profit and loss sharing agreement for the Quade, Reid, and Scott partnership provides for a $15,000 salary allowance to Reid. Residual profits and losses are allocated 5:3:2 to Quade, Reid, and Scott, respectively. In 2016, the partnership recorded $120,000 of net income that was properly allocated to the partner's capital accounts. On January 25, 2017, after the books were closed for 2016, Quade discovered that office equipment, purchased for $12,000 on December 29, 2016, was recorded as office expense by the company bookkeeper.
Required - Prepare the necessary correcting entry(s) for the partnership.
Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?
Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.
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