The capital balances of Slick, Partnership were as follows:

Senior Slick, Cap$50,000

Middle Slick, Cap  35,000

Junior Slick, Cap  15,000

Junior Slick was such a pain to the other two older partners that they decided to remove him from the partnership.  He was given $13,000 in cash and a company car.  The vehicle had a fair market value of $5,000; a book value on the partnership books of $3,000; and a tax value of zero.

Required:  make the appropriate entry

Answer rating: 100% (QA)

When a partner withdraws upon retirement from a partnership more than the credit balance on his or h... View the full answer