Question
Floyd and Merriam start a partnership business on June? 12, 2019. Their capital account balances as of December? 31, 2020 stood as? follows: Floyd ?$54,000
Floyd and Merriam start a partnership business on June? 12, 2019. Their capital account balances as of December? 31, 2020 stood as? follows:
| Floyd | ?$54,000 |
| Merriam | ?$22,000 |
Floyd agrees to sell half of his share to Ramelow in exchange for? $32,000 cash. Which of the following is the correct journal entry in the books of the firm for the above transfer of? interest?
A.
| Cash | ?32,000 | |
| ?????????? Ramelow, Capital | ?32,000 |
B.
| ?Floyd, Capital | ?27,000 | |
| ?????????? Ramelow, Capital | ?27,000 |
C.
| Cash | ?32,000 | |
| ?Floyd, Capital | ?27,000 | |
| ?????????? Ramelow, Capital | ?59,000 |
D.
| Cash | ?32,000 | |
| ?????????? Floyd, Capital | ?5,000 | |
| ?????????? Ramelow, Capital | ?27,000 |
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The Organisation Shadow Side Audit
Authors: W Tate
1st Edition
1902433971, 978-1902433974
