George, Murphy, and Lincoln, a partnership, is considering admitting Thorton as a new partner. On July 31, 2024, the capital accounts of the three existing partners and their profit-and-loss-sharing ratio are as follows:

Requirements
Journalize the admission of Thorton as a partner on July 31 for each of the following independent situations:
1. Thorton pays Lincoln $174,000 cash to purchase Lincoln’s interest.
2. Thorton contributes $87,000 to the partnership, acquiring a 1/4 interest in the business.
3. Thorton contributes $87,000 to the partnership, acquiring a 1/6 interest in the business.
4. Thorton contributes $87,000 to the partnership, acquiring a 1/3 interest in the business.

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George Murphy Lincoln Capital Profit-and-Loss-Sharing % $ 43,500 87,000 130,500 20% 25% 55%