Lopez, Cruz, and Perez are partners and share net income and loss in a 6:4:1 ratio (in ratio form: Lopez, 6/11; Cruz, 4/11; and Perez, 1/11). On December 31, Perez withdraws from the partnership when the equities of the partners are: Lopez, $3,000; Cruz, $1,800; and Perez, $1,200. Prepare journal entries to record Perezs withdrawal under each separate situation: Perez is paid for her equity using partnership cash of (1) $1,200; (2) $1,600; and (3) $700

Record the retirement of Perez assuming that she is paid $1,200 for her equity.

• Record the retirement of Perez assuming that she is paid $1,600 for her equity.
• Record the retirement of Perez assuming that she is paid $700 for her equity.