X sells to A one-half of a partnership capital interest that totals $70,000 for $40,000. A's capital account in the partnership should be credited for $40,000.

Name: X sells to A one-half of a partnership capital interest that totals $70,000 for $40,000. A's capital account in the partnership should be credited for $40,000.
Brand: Quizplus
Rating: 4.8 (49 reviews)

Question

Quizplus · Accepted Answer

A's capital account should be credited for $35,000, which is half of the $70,000 partnership capital interest that X sold to A.

X Sells to a One-Half of a Partnership Capital Interest