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When Danny Withdrew from John,Daniel,Harry,and Danny LLP,he Was Paid $80,000,although

Question 29

Multiple Choice

When Danny withdrew from John,Daniel,Harry,and Danny LLP,he was paid $80,000,although his capital account balance was only $60,000.The four partners shared net income and losses equally.The journal entry of the partnership to record Danny's withdrawal preferably should include :


A) $6,667 debit to John,Capital.
B) $6,667 credit to John,Capital.
C) $6,667 debit to John,Drawing.
D) $5,000 debit to John,Capital.
E) $5,000 credit to John,Capital.

Correct Answer:

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