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Home > Business & Careers > Accounting   »   Partner withdrawal & admission

 
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Old Jan 13, 2008, 03:38 PM
WILDHEARTS
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Partner withdrawal & admission

partnership has a share income and loss ratio of 3:2:5


their capital balances are:
meir
$168,000

benson
$138,000

lau
$294,000

now I need to prepare a journal entry for benson's withdrawal from the partnership as of
feb.1

A) sells his interest to North for $ 160,000
B) gives his interest to son-in-law, Schmidt
C) is pd $ 138,000 in partnership cash for his equity
D) is paid $ 214,000 in partnership cash for his equity
E) is pd $ 30,000 in partnership cash plus equip. recorded on the partnership books at $ 70,000 less its acc. depr. of $ 23,200


I'm confused on where I need to start to complete my journal entries

Monica

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