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Given that the existing equity of a partnership is $ 5 0 0 , 0 0 0 and John invests $ 1 0 0 ,

Given that the existing equity of a partnership is $500,000 and John invests $100,000 for a 20% share of the partnership, the journal entry includes:
Credit capital, John $100,000
Credit capital, John $500,000
Credit capital, John $600,000
Credit capital, John $120,000

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