Their profitloss sharing ratios are 60 for nicholas and 40


Question - The NG partnership has one general partner (Nicholas) and one limited partner (Guthrie). They each have an ending adjusted basis before liability allocations of $100,000. Year end liabilities are as follows: Recourse=$400,000 and nonrecourse is $300,000. Their profit/loss sharing ratios are 60% for Nicholas and 40% for Guthrie. What is Nicholas' ending outside basis?

A. $500,000

B. $520,000

C. $680,000

D. $100,000

E. None of the above

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Accounting Basics: Their profitloss sharing ratios are 60 for nicholas and 40
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