Show me the steps to solve Assume that Partner $Z$ transferred to the partnership assets with a fair value of $$81,000.$

How would the admission of Partner $Z$ be recorded if the partners agreed to revalue the

XY Partnership's land?

a$)$ Debit Assets $$81,000,$ Credit Z$\text{'}$s Capital $81,000.$

b$)$ Debit Assets $$81,000,$ Debit X$\text{'}$s Capital $$825,$ Debit Y$\text{'}$s Capital $$2,475,$ Credit Z$\text{'}$s

Capital $$84,300.$

c$)$ Debit Assets $$81,000,$ Debit X$\text{'}$s Capital $$2,750,$ Debit Y$\text{'}$s Capital $$8,250,$ Credit Z$\text{'}$s

Capital $81,000,$ Credit Land $$11,000$

d$)$ None of these.

Assume that Partner $Z$ transferred to the Partnership assets with a fair value of $$96,776.$

What would be the amount of goodwill traceable to the original partners $x$ and $Y?$

$($Round to the nearest dollar$).$

Which of the following is true about the bonus method of accounting for the admission or

the withdrawal of a partner?

a$)$ The bonus method allows recording asset appreciation but not asset write$-$down.

b$)$ Compared to the goodwill method, the bonus method is more consistent with GAAP.

c$)$ None of these statements is correct.

d$)$ The bonus is calculated as the difference between the fair value and book value of the

partnership.