The capital accounts of Jamie Dexter and Max Gee have balances of $400,000 and $250,000, respectively. Darcey Lind and Loren Rothman are to be admitted to the partnership. Darcey Lind buys one-fifth of Jamie Dexter's interest for $85,000 and one-fourth of Max Gee's interest for $65,000. Loren Rothman contributes $125,000 cash to the partnership, for which she is to receive an ownership equity of $125,000. a. On December 31, journalize the entries to record the admission of (1) Darcey Lind and (2) Loren Rothman. b. What are the capital balances of each partner after the admission of the new partners?

23.Carolina and Alfonso form TikTuk general partnership. Each person receives an equal interest in the newly created partnership. Carolina contributes $15,000 of cash and land with an FMV of $60,000. Her basis in the land is $25,000. Alfonso contributes equipment with an FMV of $18,000 and a building with an FMV of $27,000. His basis in the equipment is $6,000, and his basis in the building is $12,000. How much gain must the TikTuk general partnership recognize on the transfer of these assets from Carolina and Alfonso? Explain your answer

Nelson Ellis and Hank Tollis are partners who share profits and losses in the ratio of 40 to 60 percent, respectively. The balances of their capital accounts on December 31, 20X0, are Ellis, $210,000, and Tollis, $230,000. With Tollis's agreement, Ellis sells one-half of his interest in the partnership to Kate Cantu for $160,000 on January 1, 20X1. Required: What will the capital account balances for each of the three partners be after this sale? New Capital Account Balances Beginning balance Transfer of capital New balances Ellis Tollis Cantu

Sue and Andrew form SA general partnership. Each person receives an equal interest in the newly created partnership. Sue contributes $16,000 of cash and land with an FMV of $61,000. Her basis in the land is $26,000. Andrew contributes equipment with an FMV of $18,000 and a building with an FMV of $39,000. His basis in the equipment is $14,000, and his basis in the building is $26,000. How much gain must the SA general partnership recognize on the transfer of these assets from Sue and Andrew?

three partners, John, Jim, and Alice form a partnership. John invests $27,500; Jim invests $10,700, and Alice invests $8,400. In addition, Jim performs specific management functions for which he is paid $2,000 from the partnership proceeds. if the partnership earns $176,000, how much will jim receive?

Peters and Chong are partners and share equally in income or loss. Peters' current capital balance is $150,000 and Chong's is $140,000. Peters and Chong agree to accept Aaron with a 30% interest in the partnership. Aaron invests $118,000 in the partnership. The amount credited to Aaron's capital account is: Multiple Choice $122,400. $118,000. $268,000. $80,400. $128,000.

Dewwy, Screwum, and Howe are forming a partnership. Dewwy is transferring $93,000 of personal cash to the partnership. Screwum owns land worth $27,000 and a small building worth $205,000, which she transfers to the partnership. Howe transfers to the partnership cash of $19,000, accounts receivable of $47,700 and equipment worth $35,000. The partnership expects to collect $45,000 of the accounts receivable. Cash 93000   Dewwy Capital   93000 Equipment 27000   Building 205000   Screwum Capital   232000 Cash 19000   Accounts Recievable 47700   Equipment 35000   Doubtful   2700 Howe Capital   99000 What amount would be reported as total owners’ equity immediately after the investments?  I would have expected $99,000 since this was agreed upon.  What did I miss in the reading?