The partnership of Arun and Margot shares profits and losses in a 2:1 ratio, and the partners have capital balances of $62,000 each. Prepare a schedule showing how the bonus should be divided if Tammy joins the partnership with a $20,000 investment. The partner's new agreement will share profit and loss equally
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.
can you show every calculation that you made so I can understand? thank you
![1
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7 Investment by new partner
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New capital balance
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New partner's interest
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New partner's capital credit
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Excess investment by new partner
12
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156
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Textbook LO 15.4
The partnership of Arun and Margot shares profits and losses in a 2:1 ratio, and the partners have capital
balances of $62,000 each. Prepare a schedule showing how the bonus should be divided if Tammy joins the
partnership with a $20,000 investment. The partner's new agreement will share profit and loss equally
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Pre-admission ratio
Pre-admission capital balances
Date Account Title
Dec. 31
To record admission of new partner
Cash
Arun, Capital
Margot, Capital
Tammy, Capital
Arun
Debit
Margot
Credit
Total](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc1a6619b-fb89-4773-b0fc-bbf0136defe4%2Fb365c6bf-93bf-4291-b0f8-6b8cc0b7dcb6%2Fe12rxdt_processed.png&w=3840&q=75)
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