QUESTION TWO Alice and Bob are in partnership sharing profits in the ratio 3:2. The partnership's profit for the year was KShs.654,600. The partnership agreement provides for: Interest to be paid on the partners' opening capital balances at a rate of 5% per annum Interest on drawings at a rate of 8% per annum on all drawings during the year Partners' annual salaries of Alice, KShs.90,000; Bob, KShs.50,000. At the beginning of the year, the partners' capital and current account balances were: Capital (KShs.) Current (KShs.) Alice 1,200,000 (Cr) 157,000 (Cr) Bob 800.000 (Cr) 45,000 (Dr) During the year, Alice's drawings were KShs.180,000 and Bob's drawings were KShs.310,000. Required: a) Prepare the Partnership Appropriation Account b) Calculate each partner's share of the residual profit and total profit share c) Prepare the partners' current accounts

Licensing is perhaps the easiest method of entering into international trade. another method of entering international trade, which can be relatively low risk, is which opens several levels of involvement to company

Daniel owns 100 shares of abc corporation's common stock. abc uses the fair value option, and recent declines in the firm's credit rating have caused the value of the firm's outstanding bonds payable to drop by 10%. daniel feels this is good news, but he wants to know what you think about the situation. which of the following represents your best response? a : "this situation may be positive for you in that the change in abc's credit standing indicates that the value of the firm's assets is likely increasing. however, the drop in bond value may negate any positive effects on your bottom line, because it means your claim on the firm's assets is simultaneously decreasing." b : "actually, this is bad news all around. the drop in the value of abc's bonds payable means shareholders' claims on the firm's assets have decreased. moreover, abc's declining credit rating means that the firm's assets are probably also dropping in value, thus magnifying your losses even more." c : "on the surface, this seems like good news because it means your claim on the firm's assets has increased. however, the drop in creditworthiness may also indicate that abc's assets are declining in value, thus offsetting any gains associated with the drop in bonds payable." d : "you're right! this is good news because it means that abc's debtholders have a decreased claim on the firm's assets. as a result, the firm's existing shareholders"like you"have seen their claim on the firm's assets increase."

Ajewelry direct sales company pays its consultants based on recruiting new members. question 1 options: the company is running a pyramid scheme, which is illegal. the company is running a pyramid scheme, which is legal. the company has implemented a legal and ethical plan for growth. the company uses this method of compensation to reduce the fee for the product sample kit.