G. Ferris and T. Martinez are partners in Elegant Event Consultants. Ferris and Martinez share income equally. D. Perez will be admitted to the partnership. Prior to the admission, equipment was revalued downward by $18,000. The capital balances of each partner are $133,000 and $85,000, respectively, prior to the revaluation.

a. Provide the journal entry for the asset revaluation.

b. Provide the journal entry for Perez's admission under the following independent situations:

1. Perez purchased a 20% interest for $40,000.

2. Perez purchased a 30% interest for $112,000.