Suppose that the U. S. government decides to charge beer consumers a tax. Before the tax, 25 million cases of beer were sold every month at a price of $7 per case. After the tax, 18 million cases of beer are sold every month; consumers pay $8 per case (including the tax), and producers receive $5 per case. The amount of the tax on a case of beer is $1 per case. Of this amount, the burden that falls on consumers is $ per case, and the burden that falls on producers is $ per case.

a. True b. False: The effect of the tax on the quantity sold would have been the same as if the tax had been levied on producers. a. True b. False

The struter partnership has total partners’ equity of $510,000, which is made up of main, capital, $400,000, and frist, capital, $110,000. the partners share net income and loss in a ratio of 80% to main and 20% to frist. on november 1, adison is admitted to the partnership and given a 15% interest in equity and a 15% share in any income and loss. prepare journal entries to record the admission of adison for a 15% interest in the equity and a 15% share in any income and loss under the following independent assumptions. (1) record the admission of adison with an investment of $90,000 for a 15% interest in the equity and a 15% share in any income and loss. (2) record the admission of adison with an investment of $120,000 for a 15% interest in the equity and a 15% share in any income and loss. (3) record the admission of adison with an investment of $80,000 for a 15% interest in the equity and a 15% share in any income and loss.