Partners Arne and Bolt of Arne & Bolt LLP have capital account balances of $30,000 and

$20,000, respectively, and they share net income and losses in a 3 : 1 ratio.

Prepare journal entries to record the admission of Cope to Arne, Bolt & Cope LLP under each of the following conditions:

a. Cope invests $30,000 for a one-fourth interest in net assets; the total partnership capital after Cope’s admission is to be $80,000.

b. Cope invests $30,000, of which $10,000 is a bonus to Arne and Bolt. In conjunction with the admission of Cope, the carrying amount of the inventories is increased by

$16,000. Cope’s capital account is credited for $20,000.