Question
Partners A and B have capital balances of $15,000 and $30,000 respectively and split profits and losses in the ratio of 2:3 respectively. New partner
Partners A and B have capital balances of $15,000 and $30,000 respectively and split profits and losses in the ratio of 2:3 respectively. New partner C acquired an interest of 20% of the new partnership by investing $18,000 in cash. What is the entry to record the admission of Partner C using the bonus method?
Debit Cash 18,000
Credit X's Capital 2,160 Y's Capital 3,240 Z's Capital 12,600
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College Accounting Ch 1-14
Authors: John Wild, Vernon Richardson, Ken Shaw
1st Edition
0073346896, 9780073346892
