Chapter 14 Take Home Quiz Question 1 1.25 / 1.25 pts Partners X and Y have capital balances of $15,000 and $30,000 respectively and split profits and losses in the ratio of 2:3 respectively. New partner Z acquired an interest of 20% of the new partnership by investing $18,000 in cash. What is the entry to record the admission of Partner Z using the bonus method? None of these. Debit Cash $18,000, Credit X's Capital $2,160, Credit Y's Capital $3,240, Credit Z's Capital $12,600 Debit Cash $18,000, Credit Z's Capital $18,000Chapter 14 Take Home Quiz Question 2 1.25 / 1.25 pts When the newly admitted partner contributes goodwill, the value of that goodwill will be estimated based on the fair value of the _ partnership and the percentage of the original partners' interest in the _ -_ partnership's capital. original, new new, original new, new original, original Question 3 1.25 / 1.25 pts Partners A, B, and C share profits and losses equally and have capital balances of $20,000, $25,000, and $35,000 respectively. Partner A withdraws from the partnership by selling her interest to Partner B for $32,000 in a private transaction. What is the new capital balance of Partner B in the partnership books after the withdrawal of Partner A. 45,000Chapter 14 Take Home Quiz 1.25 / 1.25 pts Question 4 If Partner A withdraws by selling their interest to the partnership for a price greater than the book value of A's capital, asset appreciation or goodwill have to be recognized either for Partner A only or for the entire partnership. There is no case, however, where asset appreciation or goodwill may not be recognized at all. True False Question 5 1.25 / 1.25 pts According to the doctrine of the right to offset None of these is correct. Appreciation in the values of some assets is offset against the decline in the values of other assets when valuing the partnership. A partner's drawings are offset against the partner's capital at the end of the period. A partner's loan to the partnership is combined with their capital during liquidation