Revaluing and Contributing Assets to a Partnership Marquis Westbury invested $46,000 in the Trenton and Rainwater partnership for ownership equity of $46,000. Prior to the investment, equipment was revalued to a market value of $317,000 from a book value of $242,000. Daniel Trenton and Ann Marie Rainwater share net income in a 1:3 ratio. Required: a. Provide the journal entry for the revaluation of equipment. If an amount box does not require an entry, leave it blank. Equipment ✓ Daniel Trenton, Capital Ann Marie Rainwater, Capital Feedback Check My Work Cash 75,000 b. Provide the journal entry to admit Westbury. If an amount box does not require an entry, leave it blank. Marquis Westbury, Capital 18,750

Revaluing and Contributing Assets to a Partnership Marquis Westbury invested $46,000 in the Trenton and Rainwater partnership for ownership equity of $46,000. Prior to the investment, equipment was revalued to a market value of $317,000 from a book value of $242,000. Daniel Trenton and Ann Marie Rainwater share net income in a 1:3 ratio. Required: a. Provide the journal entry for the revaluation of equipment. If an amount box does not require an entry, leave it blank. Equipment ✓ Daniel Trenton, Capital Ann Marie Rainwater, Capital Feedback Check My Work Cash 75,000 b. Provide the journal entry to admit Westbury. If an amount box does not require an entry, leave it blank. Marquis Westbury, Capital 18,750

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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