Jon winek started the year with a capital balance of $135,000. during the year, his share of partnership net income was $120,000 and he withdrew $22,500 from the partnership for personal use. he made an additional capital contribution of $37,500 during the year. the amount of jon wineks capital balance that will be reported on the year-end balance sheet will be

Question

Business

Zechariah Torres

23 April, 12:39

Jon winek started the year with a capital balance of $135,000. during the year, his share of partnership net income was $120,000 and he withdrew $22,500 from the partnership for personal use. he made an additional capital contribution of $37,500 during the year. the amount of jon wineks capital balance that will be reported on the year-end balance sheet will be

+1

Answers (1)

Know the Answer?

Shayna Hopkins · Answer 1

Question: T he amount of jon wineks capital balance that will be reported on the year-end balance sheet will be

Given: Starting Capital, $135,000

additional capital contribution of $37,500

partnership net income was $120,000

withdrew $22,500 from the partnership for personal use

(at the closing entry partnership net income would be included in the capital account)

Operation: Addition and subtraction

Number Sentence: Starting capital $135,000+$37,500 = (N1)

Partnership

net income $120,000-$22,500 = (N2)

(N1) $172,500 + (N2) $97,500 = N3

Answer: $270,000