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In the GMP partnership (to which Elan seeks admittance), the capital balances of Mary, Gene, and Pat, who share income in the ratio of 6:3:1,
In the GMP partnership (to which Elan seeks admittance), the capital balances of Mary, Gene, and Pat, who share income in the ratio of 6:3:1, are Mary $ 280,800 Gene 140,400 Pat 46,800 Required: If no goodwill or bonus is recorded, how much must Elan invest for a one-third interest? Prepare journal entry for the admission of Elan if she invests $81,200 for a 20 percent interest and goodwill is recorded. Prepare journal entry for the admission of Elan if she invests $201,000 for a 20 percent interest. Total capital will be $669,000; the partners use the bonus method.
In the GMP partnership (to which Elan seeks admittance), the capital balances of Mary, Gene, and Pat, who share income in the ratio of 6:3:1, are
Mary $ 280,800
Gene 140,400
Pat 46,800
Required:
If no goodwill or bonus is recorded, how much must Elan invest for a one-third interest?
Prepare journal entry for the admission of Elan if she invests $81,200 for a 20 percent interest and goodwill is recorded.
Prepare journal entry for the admission of Elan if she invests $201,000 for a 20 percent interest. Total capital will be $669,000; the partners use the bonus method.
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Management And Cost Accounting Tools And Concepts In A Central European Context
Authors: Andreas Taschner, Michel Charifzadeh
1st Edition
3527508228, 978-3527508228
