The Felton and Burchell Partnership has partner capital account balances as follows: Felton, Capital, $550,000 and Burchell, Capita, $200,000. The partners share income and losses in the ratio of 60% to Felton and 40% to Burchell.

Case:

1. Santos a friend of Felton and Burchell would like to join the partnership as a 3 people partnership business. Santos pays $400,000 to Felton for $275,000 (1/2) of his partnership share and $150,000 to Burchell for $100,000 (1/2) of his partnership share. Both transactions are on personal and mutual agreement. Felton and Burchell, accepted Santos offer. Journalize the above transactions of Santos joining the partnership.

2. Santos invests $600,000 in the partnership for a one-third interest in partnership capital. Both Felton and Burchell agreed to Santos admission.

3. Santos invests $240,000 in the partnership for a one-third interest in partnership capital. Both Felton and Burchell agreed to Santos admission.