R. Daniel purchases a 20% interest for $60900 when the Hise, Poole, Lagos partnership has total capital of $541500. Prior to the admission of Daniel, each partner has a capital balance of $180500. Each partner relinquishes an equal amount of his capital balance to Daniel. The amount to be relinquished by Lagos is O $27860. O $19860. O $36100. O $55960.

R. Daniel purchases a 20% interest for $60900 when the Hise, Poole, Lagos partnership has total capital of $541500. Prior to the admission of Daniel, each partner has a capital balance of $180500. Each partner relinquishes an equal amount of his capital balance to Daniel. The amount to be relinquished by Lagos is O $27860. O $19860. O $36100. O $55960.

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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Question

R. Daniel purchases a 20% interest for $60900 when the Hise, Poole, Lagos partnership has total
capital of $541500. Prior to the admission of Daniel, each partner has a capital balance of $180500.
Each partner relinquishes an equal amount of his capital balance to Daniel. The amount to be
relinquished by Lagos is
O $27860.
O $19860.
O $36100.
O $55960.

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