Question 23

Ameen, Ibraheem, and Abdulaziz invested to establish a company for Computer Software. They decided to share capital and distributed the profits in equally. The total capital SR 2,700,000. Ameen, Ibraheem paid their share inpartnership SR 1,800,000, and Abdulaziz paid SR 600,000 his full share.

The journal entry of the initial investments under Goodwill Method was.

A.

	Questions	Dr	Cr
C	Investment Ameencapital Ibraheem Capital Abdulaziz Capital Goodwill	2,700,000	900,000 9000,000 600,000 300,000

B.

	Questions	Dr	Cr
D	Cash Ameen capital Ibraheem Capital Abdulaziz Capital Goodwill	2,700,000	900,000 900,000 600,000 300,000

C.

	Questions	Dr	Cr
B	Investment Goodwill Ameen capital Ibraheem Capital Abdulaziz Capital	2,400,000 300,000	1,000,000 1,000,000 700,000

D.

	Questions	Dr	Cr
A	Cash Goodwill Ameen capital Ibraheem Capital Abdulaziz Capital	2,400,000 300,000	900,000 900,000 900,000