Barth, Holt, and Tran have been partners sharing net incomes and losses in a 6:2:2 ratios. On November 30, the date Tran retires from the partnership, the equities of the partners are: Barth, $300,000; Holt, $195,000; and Tran, $75,000. Present General Journal entries to record Tran’s retirement under each of the following unrelated assumptions:
a. Tran is paid $75,000 in partnership cash for his equity.
b. Tran is paid $90,000 in partnership cash for his equity.
c. Tran is paid $67,500 in partnership cash for his equity.