i have a homework in my accounting subject... can anyone answer these problems???
The capital account of Asuncion, De Leon and Garcia partnership at Dec.
31, 2005, together with profit and loss percentages, are as follows:
Asuncion(25%) 75,000 De Leon(25%) 100,000 Garcia(50%) 125,000
the partners agreed to admit Pitular into the partnership.
Required: Prepare the journal entries to record the admission of Pitular into the partnership and calculate the partners' capital balances immediately after is admission under each of the following independent assumptions:
- Garcia sold half of her interest to Pitular for 75,000 and the partners agreed to admit Pitualr into the partnership.
2.Pitular invested 75,000 cash in the partnership for a 25% interst in the partnership capital and profits, and partnership assest are revalued.
- Pitular invested 80000 cash in the partnership for a 20% interest in the capital and profits, and partnership assest are revalued.
- Pitular invested 80,000 cash in the partnership for a 30% interest in the capital and profits,and partnership assets are not revalued.