If a cash priority program is prepared, which partner is paid first and how much is the total payment to that partner before all partners will share on the available cash based on their profit and loss ratios?

Assess the truth of this statement: The transaction of a partnership that is recording cash invested by a partner should be recorded as a debit to cash and a credit to the individual partner's drawing account. O This statement is true. O This statement is false. O There is not enough information to determine whether or not this statement is true. O This statement is not applicable to accounting concepts.

In admitting new partners, assets contributed by partners are recorded at their replacement value. Why is that?

In a partnership, distinguish between the goodwill and bonus methods.