A Private Capital Company is being founded with a capital of 12,000 euros, which is covered by capital contributions from partners A, B, and 5bC. The participation percentages of partners A, B, and C are 45%, 15%, and 40%, respectively. Partner C, for their participation, also contributes a property valued at 13,000 euros. The capital will be deposited into an account maintained by the company at a designated bank. Required: Make the appropriate journal entries.

A Private Capital Company is being founded with a capital of 12,000 euros, which is covered by capital contributions from partners A, B, and 5bC. The participation percentages of partners A, B, and C are 45%, 15%, and 40%, respectively. Partner C, for their participation, also contributes a property valued at 13,000 euros. The capital will be deposited into an account maintained by the company at a designated bank. Required: Make the appropriate journal entries.

Century 21 Accounting Multicolumn Journal

11th Edition

ISBN:9781337679503

Author:Gilbertson

Publisher:Gilbertson

Chapter18: Acquiring Capital For Growth And Development

Section: Chapter Questions

Problem 1CP

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A Private Capital Company is being established with a capital of €12,000, covered by capital contributions from partners A, B, and C. The participation of the partners is 45%, 15%, and 40%, respectively. Partner C, for his participation, contributes a machine valued at €13,000. The capital will be paid by deposit into a current account maintained by the company in a domestic bank.Required: Record the relevant journal entries
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