A, B and C are partners with capital balances of $40000(forty thousand dollars) each. The three partners
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A, B and C are partners with capital balances of $40000(forty thousand dollars) each. The three partners share income and losses in the ratio of 1:1:1. A withdraws from the partnership. What is the entry if A is paid $100,000 in partnership cash for his equity?
A. Dr. Cash 100,000; Cr. A, Capital 100,000
B. Dr. A, Capital 100,000; Cr. Cash 100,000
C. Dr. A, Capital 40,000, Dr. B, Capital 30,000, Dr. C, Capital30,000; Cr Cash 100000
D. Dr Cash 100000; Cr. A, Capital 40,000, Cr. B, Capital 30,000,Cr. C, Capital 30,000
E. None of the above
Related Book For
Advanced Financial Accounting
ISBN: 978-0078025624
10th edition
Authors: Theodore E. Christensen, David M. Cottrell, Richard E. Baker
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