Partner Ibrahim sold its share in equity of 80,000 SR in the partnership to a new partner Rana paying cash of 100,000 SR to Rana. What is the journal entry to record that transaction in the books of partnership? a.Dr. Capital Ibrahim 100,000 SR. Cr. Capital Rana100. 000 SR. b. Dr. Cash 80,000 SR, Cr. Capital Rana 80,000 SR. c. Dr. Capital Ibrahim 80,000 SR, Cr. Capital Rana 80,000 SR. d.Dr. Cash 100,000 SR, Cr. Capital Rana 100,000 SR,
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.
Partner Ibrahim sold its share in equity of 80,000 SR in the
that transaction in the books of partnership?
a.Dr. Capital Ibrahim 100,000 SR. Cr. Capital Rana100. 000 SR.
b. Dr. Cash 80,000 SR, Cr. Capital Rana 80,000 SR.
c. Dr. Capital Ibrahim 80,000 SR, Cr. Capital Rana 80,000 SR.
d.Dr. Cash 100,000 SR, Cr. Capital
Rana 100,000 SR,
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