Abby and Bailey are partners who share income in the ratio of 2:1 and have capital balances of $67,300 and $31,800, respectively. With the consent of Bailey, Sandrabuys one-half of Abby's interest for $43,200. For what amount will Abby's capital account be debited to record admission of Sandra to the partnership?a. $31,800b. $33,650c. $43,200d. $67,300

To find the answer, you need to determine how much capital Abby's interest represents. You can do…

Abby and Bailey are partners who share income in the ratio of 2:1 and have capital balances of $67,300 and $31,800, respectively. With the consent of Bailey, Sandral buys one-half of Abby's interest for $43,200. For what amount will Abby's capital account be debited to record admission of Sandra to the partnership? Oa. $31,800 b. $33,650 c. $43,200 Od. $67,300

Abby and Bailey are partners who share income in the ratio of 2:1 and have capital balances of $67,300 and $31,800, respectively. With the consent of Bailey, Sandral buys one-half of Abby's interest for $43,200. For what amount will Abby's capital account be debited to record admission of Sandra to the partnership? Oa. $31,800 b. $33,650 c. $43,200 Od. $67,300

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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