9) Leto and Duncan allow Gunner to purchase a 25% interest in their partnership for $30,000...
9) Leto and Duncan allow Gunner to purchase a 25% interest in their partnership for $30,000 cash. Gunner has exceptional talents that will enhance the partnership. Leto's and Duncan's capital account balances are $55,000 each. The partners have agreed to share income or loss equally. Prepare the general journal entry to record the admission of Lepley to the partnership.
Homework Answers
Gunner purchased 25% interest for $30,000
Bonus received by gunner
= ((55,000+55,000+30,000)*25%] - 30,000
= 35,000-30,000 = 5000
| Cash | 30,000 | |
| Leto capital (5000/2) | 2500 | |
| Duncan capital (5000/2) | 2500 | |
| Gunner capital | 35000 |
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9) Leto and Duncan allow Gunner to purchase a 25% interest in
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