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Hanna Hylands is admitted to the partnership of Reamey & Noble. Prior to her admission, the partnership books show Gretchen Reamey's capital balance at $160,000
Hanna Hylands is admitted to the partnership of Reamey & Noble. Prior to her admission, the partnership books show Gretchen Reamey's capital balance at $160,000 and Caius Noble's at $80,000. Assume Reamey and Noble share profits and losses equally. Compute each partner's equity on the books of the new partnership under the following plans: a. Hylands pays $110,000 for Noble's equity. Hylands pays Noble directly. b. Hylands contributes $80,000 to acquire a 1/4 interest in the partnership. c. Hylands contributes $140,000 to acquire a 1/4 interest in the partnership. Journalize the entries for admitting the new partner under plans a, b, and c
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