Collins, Castillo, and Cruz were partners with capital account balances of $95,000, $115,000, and $85,000, respectively. They agreed to admit Perez to the partnership. Perez purchased 25% of each partner's interest, with payments directly to Collins, Castillo, and Cruz of $35,000, $38,000, and $29,000, respectively. Before the admission of Perez, the profit and loss sharing ratio was 2:3:2. The partners agreed to use the book value method to account for the admission of Perez to the partnership.

Required: Prepare the journal entry to record the admission of Perez to the partnership.