Question
Assets Liabilities + Owners' Equity Cash $ 90,000 Liabilities $ 49,000 Noncash Assets 330,000 _________ Owners' Equity 420,000 Richard $ 157,000 Ruth 95,000 Riley 22,000
Assets Liabilities + Owners' Equity
Cash $ 90,000 Liabilities $ 49,000
Noncash Assets 330,000
_________ Owners' Equity
420,000 Richard $ 157,000
Ruth 95,000
Riley 22,000
Robert 97,000
$ 420,000
starting with this balance sheet. Use it to solve this problem.
The general partnership has decided to add a new partner (Rose). Rose is to receive a 1/7 interest in the expanded partnership.
Rose will pay $75,834 to join this partnership.
What is Richard's new balance after it absorbs the gain or loss resulting from Rose joining the partnership?
Step by Step Solution
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Step: 1
Heres how to find Richards new balance after Rose joins the partnership Calculate Total Partnership ...
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Advanced Accounting
Authors: Gail Fayerman
1st Canadian Edition
9781118774113, 1118774116, 111803791X, 978-1118037911
