Required information

Problem $12-5$A $($Algo$)$ Partner withdrawal and admission LO P$3,$ P$4$

$[$The following information applies to the questions displayed below.$]$

Meir, Benson, and Lau are partners and share income and loss in a $2$:$3$:$5$ ratio $($in percents: Meir, $20\%$; Benson, $30\%$; and

Lau, $50\%).$ The partnership's capital balances are as follows: Meir, $$48,000$; Benson, $$74,000$; and Lau, $$128,000.$ Benson

decides to withdraw from the partnership.

Problem $12-5$A $($Algo$)$ Part $2$

Assume that Benson does not retire from the partnership described in Part $1.$ Instead, Rhode is admitted to the partnership on

February $1$ with a $25\%$ equity. Prepare journal entries to record Rhode's entry into the partnership under each separate assumption:

Rhode invests $($a$)$ $$83,333$; $($b$)$ $$60,833$; and $($c$)$ $$109,166.$

Note: Do not round intermediate calculations.

Journal entry worksheet

Record the admission of Rhode with an investment of $$83,333$ for a $25\%$

interest in the equity.

$1)$ Record the admission of Rhode with an investment of $$83,333$ for a $25\%$ interest in the equity.

$2)$ Record the admission of Rhode with an investment of $$60,833$ for a $25\%$ interest in the equity.

$3)$ Record the admission of Rhode with an investment of $$109,166$ for a $25\%$ interest in the equity.