The Distance Plus Partnership has the following capital balances at the beginning of the current year: Tiger (40% of profits and losses) $90,000 Phil (30%) $60,000 Ernie (30%) $75,000

a. If Sergio invests $70,000 in cash in the business for a 20 percent interest, what journal entry is recorded? Assume that the bonus method is used. (if no entry is required for a transaction/event, select "No journal entry required in the first account field.)

Journal Entry Worksheet: Record the admission of new partner under bonus method Transaction General Journal Debit Credit

(options given under general journal are: no journal entry required; accounts payable; accounts receivable; cash; ernie, capital; ernie, drawings; goodwill; interest expense; interest income; interest payable; interest receivable; phil, capital; phil, drawings; sergio, capital; sergio, drawings; tiger, capital; tiger, drawings)

b. If sergio invests in cash in the business for a 20 percent interest, what journal entry is recorded? Assume that the bonus method is used. (if no entry is required for a transaction/even, select "no journal entry required" in the first account field.)

Journal Entry Worksheet: Record the admission of new partner under bonus method Transaction General Journal Debit Credit

(options given under general journal are: no journal entry required; accounts payable; accounts receivable; cash; ernie, capital; ernie, drawings; goodwill; interest expense; interest income; interest payable; interest receivable; phil, capital; phil, drawings; sergio, capital; sergio, drawings; tiger, capital; tiger, drawings)

c. If Sergio invests $60,000 in cash in the business for a 20 percent interest, what journal entry is recorded? Assume that the goodwill method is used.(if no entry is required for a transaction/even, select "no journal entry required" in the first account field.)

Journal Entry Worksheet: Record the entry for goodwill allocation, during the admission of a new partner

Transaction General Journal Debit Credit

(options given under general journal are: no journal entry required; accounts payable; accounts receivable; cash; ernie, capital; ernie, drawings; goodwill; interest expense; interest income; interest payable; interest receivable; phil, capital; phil, drawings; sergio, capital; sergio, drawings; tiger, capital; tiger, drawings)

If you have any question please let me know. The website my school uses will not let me copy the journal entry template for you to use, i provided all the options listed under the pull down for the journal entries. Thank you