Withdrawal of a partner: A partner can withdraw from the partnership firm for various reasons for like Retirement, Dispute with the other partners etc. When a partner withdraws from the firm, the books of the firm are closed and profits are distributed to the partners. After distribution of the profit, balance of the capital account of the retiring partner is paid to him as per the agreement. Sometimes, the retiring partner gets amount in excess of or less than his equity balance. In that situation, either the remaining partners or the retiring partner will get some bonus. To Determine: Journal Entry for the withdrawal of Sara in case she receives: 1. $60,000. 2. $30,000.

Question

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Answer 1

Question

Chapter 12, Problem E12.21E

To determine

Withdrawal of a partner: A partner can withdraw from the partnership firm for various reasons for like Retirement, Dispute with the other partners etc. When a partner withdraws from the firm, the books of the firm are closed and profits are distributed to the partners. After distribution of the profit, balance of the capital account of the retiring partner is paid to him as per the agreement. Sometimes, the retiring partner gets amount in excess of or less than his equity balance. In that situation, either the remaining partners or the retiring partner will get some bonus.

To Determine:

Journal Entry for the withdrawal of Sara in case she receives:

1. $60,000.

2. $30,000.

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Answer 2

Question

Chapter 12, Problem E12.21E

To determine

Withdrawal of a partner: A partner can withdraw from the partnership firm for various reasons for like Retirement, Dispute with the other partners etc. When a partner withdraws from the firm, the books of the firm are closed and profits are distributed to the partners. After distribution of the profit, balance of the capital account of the retiring partner is paid to him as per the agreement. Sometimes, the retiring partner gets amount in excess of or less than his equity balance. In that situation, either the remaining partners or the retiring partner will get some bonus.

To Determine:

Journal Entry for the withdrawal of Sara in case she receives:

1. $60,000.

2. $30,000.

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Answer 3

Question

Chapter 12, Problem E12.21E

To determine

Withdrawal of a partner: A partner can withdraw from the partnership firm for various reasons for like Retirement, Dispute with the other partners etc. When a partner withdraws from the firm, the books of the firm are closed and profits are distributed to the partners. After distribution of the profit, balance of the capital account of the retiring partner is paid to him as per the agreement. Sometimes, the retiring partner gets amount in excess of or less than his equity balance. In that situation, either the remaining partners or the retiring partner will get some bonus.

To Determine:

Journal Entry for the withdrawal of Sara in case she receives:

1. $60,000.

2. $30,000.

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Answer 4

Question

Chapter 12, Problem E12.21E

To determine

Withdrawal of a partner: A partner can withdraw from the partnership firm for various reasons for like Retirement, Dispute with the other partners etc. When a partner withdraws from the firm, the books of the firm are closed and profits are distributed to the partners. After distribution of the profit, balance of the capital account of the retiring partner is paid to him as per the agreement. Sometimes, the retiring partner gets amount in excess of or less than his equity balance. In that situation, either the remaining partners or the retiring partner will get some bonus.

To Determine:

Journal Entry for the withdrawal of Sara in case she receives:

1. $60,000.

2. $30,000.

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Answer 5

Chapter 12, Problem E12.21E

To determine

Withdrawal of a partner: A partner can withdraw from the partnership firm for various reasons for like Retirement, Dispute with the other partners etc. When a partner withdraws from the firm, the books of the firm are closed and profits are distributed to the partners. After distribution of the profit, balance of the capital account of the retiring partner is paid to him as per the agreement. Sometimes, the retiring partner gets amount in excess of or less than his equity balance. In that situation, either the remaining partners or the retiring partner will get some bonus.

To Determine:

Journal Entry for the withdrawal of Sara in case she receives:

1. $60,000.

2. $30,000.

Answer 6

Chapter 12, Problem E12.21E

To determine

Withdrawal of a partner: A partner can withdraw from the partnership firm for various reasons for like Retirement, Dispute with the other partners etc. When a partner withdraws from the firm, the books of the firm are closed and profits are distributed to the partners. After distribution of the profit, balance of the capital account of the retiring partner is paid to him as per the agreement. Sometimes, the retiring partner gets amount in excess of or less than his equity balance. In that situation, either the remaining partners or the retiring partner will get some bonus.

To Determine:

Journal Entry for the withdrawal of Sara in case she receives:

1. $60,000.

2. $30,000.

Answer 7

Chapter 12, Problem E12.21E

To determine

Withdrawal of a partner: A partner can withdraw from the partnership firm for various reasons for like Retirement, Dispute with the other partners etc. When a partner withdraws from the firm, the books of the firm are closed and profits are distributed to the partners. After distribution of the profit, balance of the capital account of the retiring partner is paid to him as per the agreement. Sometimes, the retiring partner gets amount in excess of or less than his equity balance. In that situation, either the remaining partners or the retiring partner will get some bonus.

To Determine:

Journal Entry for the withdrawal of Sara in case she receives:

1. $60,000.

2. $30,000.

Answer 8

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Answer 9

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Answer 10

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Answer 11

Ch. 12 - Prob. 1QC Ch. 12 - Prob. 2QC Ch. 12 - Prob. 3QC Ch. 12 - Which financial statement shows the changes in...Ch. 12 - Prob. 5QC Ch. 12 - Prob. 6QC Ch. 12 - Prob. 7QC Ch. 12 - Peter and Steve admit Meredith to their...Ch. 12 - Prob. 9QC Ch. 12 - Prob. 10QC

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