=+EX 12-12 Admitting new partners who buy an interest and contribute assets obj. 3

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b. Hughes,

$96,000 Chapter 12 Accounting for Partnerships and Limited Liability Companies 563 After the tangible assets have been adjusted to current market prices, the capital accounts of Travis Harris and Keelyn Kidd have balances of $60,000 and $90,000, respectively. Felix Flores is to be admitted to the partnership, contributing $45,000 cash to the partnership, for which he is to receive an ownership equity of $60,000. All partners share equally in income.

a. Journalize the entry to record the admission of Flores, who is to receive a bonus of

$15,000.