subject
Business, 22.06.2019 21:00 sofiaisabelaguozdpez

Roberto and reagan are both 25 percent owner/managers for bright light inc. roberto runs the retail store in sacramento, ca, and reagan runs the retail store in san francisco, ca. bright light inc. generated a $125,000 profit companywide made up of a $75,000 profit from the sacramento store, a ($25,000) loss from the san francisco store, and a combined $75,000 profit from the remaining stores. if bright light inc. is an s corporation, how much income will be allocated to roberto?

Answers

ansver
Answer from: ruchierosanp1n3qw

$31,250

Explanation:

Since w know that the total profit which is generated by Bright Light Inc. is $125,000 and the share of Robert and Reagan is 25% in Bright Light Inc.

So, if we compute the Robert income it would be equal to

= Total Profit × ownership percentage

= $125,000 × 25%

= $31,250

Since the Robert income is based on the ownership pattern that's why we compute it by considering ownership share.

ansver
Answer from: babykate66

net income of Reagan = $5000

Explanation:

given data

profit companywide = $125,000

profit from the Sacramento = $75,000

loss from the San Francisco = $25,000

profit from the remaining stores = $75,000

to find out

how much income will be allocated to Reagan

solution

we know that Reagan's Profit From own store  is 25,000 and 70% belongs to them only

so here profit to be distributed on pro rata basis will be as

profit to be distributed = $75000 + 30% of Roberto profit - 30% of Reagan profit    1

profit to be distributed = $75000 + 30% × $75,000 - 30% ×  $25,000

profit to be distributed = $90000

and here share of Reagan is = 25% of $90000

share of Reagan = $22500

so net income of Reagan will be here as

net income of Reagan = $22500 - 70% of 25000

net income of Reagan = $5000

ansver
Answer from: jared2461
Please answer please please thank you

Other questions on the subject: Business

image
Business, 22.06.2019 03:00, Frankia
Big arber company ordered parts from a foreign supplier on november 20 at a price of 50,000 pigios when the spot rate was $0.20 per pijio. delivery and payment were scheduled for december 20. on november 20, big arber acquired a call option on 50,000 pigios at a strike price of $0.20, paying a premium of $0.008 per pijio. it designates the option as a fair value hedge of a foreign currency firm commitment. the fair value of the firm commitment is measured by referring to changes in the spot rate. the parts arrive and big arber makes payment according to schedule. big arber does not close its books until december 31. a. assuming a spot rate of $0.21 per pijio on december 20, prepare all journal entries to account for the option and firm commitment
Answers: 3
image
Business, 22.06.2019 13:30, ayoismeisalex
On january 2, well co. purchased 10% of rea, inc.’s outstanding common shares for $400,000, which equaled the carrying amount and the fair value of the interest purchased in rea’s net assets. well did not elect the fair value option. because well is the largest single shareholder in rea, and well’s officers are a majority on rea’s board of directors, well exercises significant influence over rea. rea reported net income of $500,000 for the year and paid dividends of $150,000. in its december 31 balance sheet, what amount should well report as investment in rea?
Answers: 3
image
Business, 22.06.2019 14:30, SophieCasey
The state in which the manufacturing company you work for is located regulates the presence of a particular substance in the environment to concentrations ≤ x. recently-released, reliable research endorsed by the responsible federal agency conclusively demonstrates that the substance poses no risks at concentrations up to 5x. your company has asked you to consider designing a new process with a waste discharge stream containing up to 2x of the substance. based on the stated conditions, describe this possible.
Answers: 2
image
Business, 22.06.2019 18:40, bella2331
Under t, the point (0,2) gets mapped to (3,0). t-1 (x, y) →​
Answers: 3
You know the right answer?
Roberto and reagan are both 25 percent owner/managers for bright light inc. roberto runs the retail...

Questions in other subjects:

Konu
English, 17.05.2021 22:00
Konu
Mathematics, 17.05.2021 22:00
Konu
Mathematics, 17.05.2021 22:00
Konu
History, 17.05.2021 22:00
Questions on the website: 13539417