Answer Case 1 to Case 8. Show solution.

PROBLEM 2: JOURNAL ENTRIES Fact pattern The capital accounts of A&B Co. before the admission of C are as follows: Capital accounts A, Capital 150,000 B, Capital 250.000 P/L ratios 30% 70% PART 1: ADMISSION OF A NEW PARTNER Case 1: Purchase of interest from one partner 1, C purchases 10% interest out of the 30% interest of A for P100,000. The net assets of the firm as of this date approximate their fair values. Requirement: Provide the journal entry to record the transaction