Business, 10.09.2019 17:30 Tyrant4life
In the jk partnership, jacob's capital is $140,000, and katy's is $40,000. they share income in a 3: 2 ratio, respectively. they decide to admit erin to the partnership. each of the following questions is independent of the others.
refer to the information provided above. assume that erin invests $40,000 for a one-fifth interest. goodwill is to be recorded. the journal entry to record erin's admission into the partnership will include
a. a credit to cash for $40,000
b. a credit to erin, capital for $45,000
c. a credit to erin, capital for $40,000
d. a debit to goodwill for $4,000
Answers: 3
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In the jk partnership, jacob's capital is $140,000, and katy's is $40,000. they share income in a 3:...
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