Swenson has a capital balance of $28,000; Sousas balance is $22,000. Ha pays $120,000 to purchase Sousas

Question:

Swenson has a capital balance of $28,000; Sousa’s balance is $22,000. Ha pays $120,000 to purchase Sousa’s interest in the Swenson & Sousa partnership. Sousa receives the full $120,000.
Requirements

1. Journalize the partnership’s transaction to admit Ha to the partnership.
2. Must Swenson accept Ha as a full partner? What rights does Ha have after purchasing Sousa’s interest in the partnership?

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