Part 1. Gibbs, Gier, and Gill are partners and share income and loss in a 5:1:4 ratio. The partner¬ ship’s capital balances are as follows: Gibbs, $303,000; Gier, $74,000; and Gill, $223,000. Gibbs de¬ cides to withdraw from the partnership, and the partners agree not to have the assets revalued upon Gibbs’s retirement. Prepare journal entries to record Gibbs’s April 30 withdrawal from the partner¬ ship under each of the following separate assumptions: Gibbs

(a) sells her interest to Grady for $250,000 after Gier and Gill approve the entry of Grady as a partner;

(b) gives her interest to a daughter-in-law, Gannon, and thereafter Gier and Gill accept Gannon as a partner;

(c) is paid $303,000 in partnership cash for her equity;

(d) is paid $175,000 in partnership cash for her equity; and

(e) is paid $100,000 in partnership cash plus manufacturing equipment recorded on the partnership books at $269,000 less its accumulated depreciation of $168,000.

Part 2. Assume that Gibbs does not retire from the partnership described in Part 1. Instead, Grise is admitted to the partnership on April 30 with a 20% equity. Prepare journal entries to record the en¬ try of Grise under each of the following separate assumptions: Grise invests

(a) $150,000;

(b) $98,000; and

(c) $213,000.