
Admission of P means the new partner enters in to
Requirement1:
TheJournal entries required at purchase of share from the retiring partner.
Requirement 2:
The
Accounts Title and explanations | Debit $ | Credit $ | ||
Cash Account Dr. | 81,000 | |||
Thompson Capital Account | 81,000 | |||
(for contributing the amount on admission) |
Requirement 3:
The Journal entry for the amount contributed by new partner in excess of his share of profits.
Requirement 4:
The Journal entry for amount contributed by new partner lower than the amount as per income sharing ratio.

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Chapter 12 Solutions
Horngren's Accounting, Student Value Edition Plus MyLab Accounting with Pearson eText -- Access Card Package (12th Edition)
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