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Wright, Bell, and Edison are partners and share income in a 2.5-3 ratio. The partnership's capital balances are as follows: Wright, $33,000, Bell $27,000 and
Wright, Bell, and Edison are partners and share income in a 2.5-3 ratio. The partnership's capital balances are as follows: Wright, $33,000, Bell $27,000 and Edison $40,000. Edison decides to withdraw from the partnership and the partners agree not to revalue the assets upon Edison's retirement. The journal entry to record Edison's June 1 withdrawal from the partnership if Edison selis his interest to Whitney for $45,000 after the other two partners approve Whitney as partner is: Multiple Choice Debit Edison, Capital $45.000 credit Whitney, Capital $45,000 Debit Edison, Capital $40,000 credit Cash $40,000 Debit Edison, Capital $40.000 debt Wright. Capital $2.500 debt Bet, Capital $2.500, erede Whitney, Capital $45.000 Debit Edison Capital $40,000: crede Whitney, Capital 540,000 Debit Edison Capital $40,000, debit Cash $5,000 credit Whitney Capital $45,000
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