Prepare the journal entry to record the admission of Ash under each of the following separate…

1. The partners in the Biz Partnership have agreed that partner Mona may sell her $90,000 equity in the partnership to Seal, for which Seal will pay Mona $75,000. Present the partnership’s journal entry to record the sale of Mona’s interest to Seal on September 30.

2. The Treed Partnership has total partners’ equity of $510,000, which is made up of Elm, Capital, $400,000, and Oak, Capital, $110,000. The partners share net income and loss in a ratio of 80% to Elm and 20% to Oak. On November 1, Ash is admitted to the partnership and given a 15% interest in equity and a 15% share in any income and loss. Prepare the journal entry to record the admission of Ash under each of the following separate assumptions: Ash invests cash of (1) $90,000; (2) $125,000; and (3) $60,000.

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