Jessica and Rufus admit Jose as a 25% partner for a contribution of $120, 000 Jessica has capital and a profit /loss ratio of $280, 000 and 70%, respectively. Rufus has capital and a profit/loss ratio of $150, 000 and 30%, respectively. The three parties agree that some of the partnership's investment assets are overvalued. What is the entry to correct this overvaluation? (You do not need to write the entry to admit Jose.) don't use ai answer,i will 5 upvotes
Partnership Accounting
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings, admission of a new partner, etc.
Partner Admission and Withdrawal
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings of a partner, etc.
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