Toronto Skytop Resort is a partnership, and its owners are considering admitting Bharat Ratta as a new partner. On July 31, 2020, the Capital accounts of the three existing partners and their shares of profits and losses are as follows:

Required

Journalize the admission of Ratta as a partner on July 31, 2020, for each of the following independent situations:

a. Ratta pays Harmon $55,000 cash to purchase Harmon’s interest.

b. Ratta invests $30,000 in the partnership, acquiring a one-quarter interest in the business.

c. Ratta invests $30,000 in the partnership, acquiring a one-sixth interest in the business.

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Capital Sharing Percentage Eleanor Craven.. $20,000 20% Navneet Shelmar.. 30,000 30 Brian Harmon. 40,000 50