Question
Oak, Pine and Maple have a plant shop. Their equity is as follows: Capital Balances Oak Pine Maple Total 95,000 80,000 158,000 333,000 The partners
Oak, Pine and Maple have a plant shop. Their equity is as follows:
| Capital Balances | |||
| Oak | Pine | Maple | Total |
| 95,000 | 80,000 | 158,000 | 333,000 |
The partners share profit and losses in a 3:2:5 ratio. Spruce is admitted to the partnership June 5, 2021 with a cash investment of 73,000 for 25% equity.
Required:
Prepare the entry to show Spruce's admission to the partnership.
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Accounting Principles Part 3
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Kinnear, Joan E. Barlow
6th Canadian edition Volume 1
1118306805, 978-1118306802
