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How does the accounting treatment of a partner's salary differ from that of an employee's salary in a partnership?
Wiki User
∙ 14y ago
How does the accounting treatment of a partner's salary differ from that of an employee's salary in a partnership?
Wiki User
∙ 14y ago
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What is the accounting treatment of a change in partners profit sharing ratio?
credit to gainig partner &debit to sacrificing partner
Who pays taxes in a partnership?
the partners have to or they hire an accountant
What happens to account receivables when a business goes from a proprietorship to a partnership?
Unless there is an explicit statement to the contrary in your partnership agreement, both partners are jointly and severally entitled to collect them. If you have substantial receivables and wish to enter into a partnership you should list them in detail and include the mutually-agreed-upon treatment of them in a notarized document signed by both parties.
How do partnerships and corporations differ in accounting?
the main difference is that the earnings of the partnership pass directly to the owners/partners of the business. A corporation is a seperate legal entity and are taxed seperately and the earnings are only passed to the owners/shareholders when dividends are paid.
How do you divide partnership net income?
In a partnership entity, the net income should be divided in proportion to the share values of respective partners in the organization.
What are the kinds of partners in partnership accounting?
Kinds of partnership
Features of limited partnership?
limited partnership has two partners with different liability;general partners and limited partners.
What is the use of partnership?
To raise capital for a venture among a limited number of people To allocate the risk borne by partners To get different (preferrential) tax treatment for partnership income
What are the characteristics of a partnership?
If the partnership is a general partnership, all partners assume unlimited liability. However, if the partnership is a limited partnership, one or more of the partners assumes unlimited liability
Can an llc be a partner in a partnership?
Yes, an LLC can be a partner is a partnership and they often are. In this case, all partners in the general partnership are general partners.
A change in relationship of partners caused by a partners ceasing to be associated with the partnership is known as what?
Dissolution of Partnership
What are the characteristics of a business partnership?
If the partnership is a general partnership, all partners assume unlimited liability. However, if the partnership is a limited partnership, one or more of the partners assumes unlimited liability
How do you open partnership in the Philippines?
A Philippine partnership must be registered with SEC.A minimum of 2 partners is required. Partners have unlimited liability.One can setup a limited partnership, the limited partners have limited liability the other partners have unlimited liability.A partnership is taxed like a corporation.
What is the accounting treatment of a change in partners profit sharing ratio?
credit to gainig partner &debit to sacrificing partner
Will a surviving same-sex spouse receive benefits?
In countries, states where marriage of same sex partners is legally recognised, there is no difference in the treatment of the partners as compared to a heterosexual marriage partnership.
What is Mutual agency of a partnership?
Right of all partners in a partnership to act as agents for the normal business operations of the partnership, and their responsibility for their partners' business related (but not personal) actions.
Which of the following terms represents a business that is similar to a general partnership, except that in addition to general partners there are one or more limited partners?
limited partnership a+
