In the LMK partnership, Luis$$s capital is $$40,000,$ Marty$$s is $$50,000,$ and Karl$$s is $$30,000.$ They share income in a $4$:$1$:$1$ ratio, respectively. Karl is retiring from the partnership.

Required:

Prepare journal entries to record Karl$$s withdrawal according to each of the following independent assumptions:

Karl is paid $$38,000,$ and no goodwill is recorded.

Karl is paid $$42,000,$ and only his share of the goodwill is recorded.

Karl is paid $$35,000,$ and all implied goodwill is recorded.