Jim Braun has been a partner in a real estate investment partnership with Alicia Kaynes for 10 years. When the real estate market took a downward turn, one of their investments in a strip mall became a cash drain. Jim refused to contribute any more cash and withdrew from the partnership. Alicia was left to manage the property. Before she could sell it, Alicia had put in $125,000 into the strip
mall property. Following the sale, Alicia demanded one-half of the $125,000 from Jim. Jim said he is not liable because he left the partnership.
A) Jim is correct; he withdrew and his liability ended.
B) Alicia is correct; Jim owes her his share of what she paid.
C) Neither is correct; how much Jim owes depends on when he withdrew.
D) None of the above
B
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Generally accepted accounting principles requires that companies use the ____ of accounting
A) cash basis B) deferral basis C) accrual basis D) account basis
Clyde Retailers is a local merchandiser which buys vintage clothing and sells it to local college students. Clyde began the year with inventory costing $60,000. During the year inventory costing $300,000 was purchased. At the end of the year, inventory costing $45,000 still remained. What was Clyde's cost of goods sold for the year?
A) $255,000 B) $285,000 C) $300,000 D) $315,000
Discover Card has an automated inquiry system that enables card members to obtain their current balance, available credit and payment information via telephone without speaking to an account representative. What term should be used to describe this inquiry system?
What will be an ideal response?
It is easier to define the specific activities for near-term work; but as more information is known or becomes clear, the project team can progressively elaborate the specific activities
a. True b. False Indicate whether the statement is true or false