kala and leah partners in best designs have capital balances of $40,000 and $60,000 respectively. adam joins the partnership by
buying one-half of kala's interest for $30,000. in addition, because of adam's outstanding sales skills, the partners agree to increase his interest to 40% if he invests another $10,000. the income-sharing ratio for kala, leah, and adam is 4:3:1. a) journalize the entries to record the admission of adam to the partnership. b) immediately after adam's admission to the partnership, leah sells one-fourth of her interest to denton for $35,000. journalize the entry to record the transaction.
The solution to the following problem is done below.
Explanation:
a) Journalize the entries to record the admission of adam to the partnership.
Account Title DrCr
Kala, Capital 20,000
Adam, Capital 20,000
Cash 10,000
Kala, Capital 8,000
Leah, Capital 6,000
Adam, Capital 24,000
b) Immediately after adam's admission to the partnership, leah sells one-fourth of her interest to denton for $35,000. journalize the entry to record the transaction.
The fuel is exposed to heat and oxygen and it burns producing byproducts and heat. The heat is ultimately often used in an engine to reduce motion for transportation some other form of mechanical motion or Electricity