Principles of Financial Accounting.
Principles of Financial Accounting.
24th Edition
ISBN: 9781260158601
Author: Wild
Publisher: MCG
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Chapter 12, Problem 6QS
To determine

Record the journal entry to show the admission of the Person K into partnership.

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Matolcsy and Wells are partners. They share profits and losses equally. Their current capital account balances are $20 and $10 respectively. They decide to admit Tyler to the partnership. Tyler invests $10 for a 20 per cent share of the partnership. The journal entry to admit Tyler will include: Debit Wells, capital $1 Credit Cash $10 Credit Tyler, capital $10 O Credit Matolcsy, capital $1
Trumming and Nancy are successful partners. They share profits and losses equally. Their current capital account balances are $20 and $15 respectively. They decide to admit Tyler to the partnership. Tyler invests $25 for a 25 per cent share of the partnership. The journal entry to admit Tyler will include: Debit Tyler, capital $15 Credit Trumming, capital $10 Debit Cash $15 Credit Trumming, capital $5
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