On December 31, the capital balances and income ratios in Ivanhoe Co. are as follow: Partner. Capital Bal Income Ratios Trayer $99,000. 50% Emig 44,000 40% Posada 33,500. 20% Journalize the withdrawal of Posada under each of the following assumptions: A) Each continuing partner agrees to pay $16,400 in cas form personal funds to purchase Posadas's ownership equity. Each receives 50% of Posada's equity. B) Emig agrees to purchase Posada's ownership interest for $23,000 cash. C) Posada is paid $37,580 from partnershi assets, which includes a bonus to the reitring partner. D) Posada is paid $24,140 from partnership assets and bonuses to the remaining patners are recognized.
On December 31, the capital balances and income ratios in Ivanhoe Co. are as follow:
Partner. Capital Bal Income Ratios
Trayer $99,000. 50%
Emig 44,000 40%
Posada 33,500. 20%
Journalize the withdrawal of Posada under each of the following assumptions:
A) Each continuing partner agrees to pay $16,400 in cas form personal funds to purchase Posadas's ownership equity. Each receives 50% of Posada's equity.
B) Emig agrees to purchase Posada's ownership interest for $23,000 cash.
C) Posada is paid $37,580 from partnershi assets, which includes a bonus to the reitring partner.
D) Posada is paid $24,140 from partnership assets and bonuses to the remaining patners are recognized.
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