36. Avery and Bert are partners who share profits and losses in a ratio of 2:1 and have capital balances of $75,000 and $150,000, respectively. The partners agree to admit Carmen to the partnership. Carmen invests $75,000 for a 35 percent interest in the partnership. The new total capital balance after admitting Carmen is $300,000. The entry to record the admission of Carmen to the partnership is: a. Cash 75,000 Carmen, Capital 75,000 b. Cash 105,000 Carmen, Capital 105,000 c. Cash Avery, Capital Bert, Capital Carmen, Capital 75,000 20,000 10,000 105,000 d. Cash 105,000 Carmen, Capital Avery, Capital Bert, Capital 75,000 20,000 10,000

36. Avery and Bert are partners who share profits and losses in a ratio of 2:1 and have capital balances of $75,000 and $150,000, respectively. The partners agree to admit Carmen to the partnership. Carmen invests $75,000 for a 35 percent interest in the partnership. The new total capital balance after admitting Carmen is $300,000. The entry to record the admission of Carmen to the partnership is: a. Cash 75,000 Carmen, Capital 75,000 b. Cash 105,000 Carmen, Capital 105,000 c. Cash Avery, Capital Bert, Capital Carmen, Capital 75,000 20,000 10,000 105,000 d. Cash 105,000 Carmen, Capital Avery, Capital Bert, Capital 75,000 20,000 10,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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