Question
t April 30 of the current year, partners capital balances and the profit- and loss-sharing ratio in Monty Enterprises are as follows: Partner Capital Balance
t April 30 of the current year, partners capital balances and the profit- and loss-sharing ratio in Monty Enterprises are as follows:
| Partner | Capital Balance | Profit and Loss Ratio | ||||
| R. Short | $41,000 | 3 | ||||
| K. Osborne | $21,000 | 2 | ||||
| W. Sanga | $58,000 | 4 | ||||
On May 1, the Sandhill Company is formed by admitting N. Osvald to the firm as a partner.
A)Journalize the admission of Osvald if Osvald invests $72,200 cash in the partnership for a 40% ownership interest.
b)Osvald invests $30,000 in the partnership for a 20% ownership interest.
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Managerial Accounting
Authors: Stacey Whitecotton, Robert Libby, Fred Phillips
2nd edition
9780077493677, 78025516, 77493672, 9780077826482, 978-0078025518
