The Distance Plus partnership has the following capital balances at the beginning of the current year:

Tiger (50% of profits and losses). $85,000 Phil (30%).60,000 LO3 Ernie (20%).55,000

a. If Sergio invests $ 100,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the bonus method is used.

b. If Sergio invests $60,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the bonus method is used.

c. If Sergio invests $72,000 in cash in the business for a 25 percent interest, what journal entry is recorded? Assume that the goodwill method is used.