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Raul and Bianca Are Partners

Question 114

Multiple Choice

Raul and Bianca are partners.Raul has a capital balance of $50,000 and Bianca has a capital balance of $37,000.Bianca sells half of her ownership interest to Bill for $20,500.Which of the following is true of the journal entry to record this transaction?


A) Bianca,Capital is credited for $20,500 and Raul,Capital is debited for $18,500.
B) Bill,Capital is credited for $18,500 and Raul,Capital is debited for $20,500.
C) Bill,Capital is credited for $18,500 and Bianca,Capital is debited for $18,500.
D) Bianca,Capital is credited for $20,500 and Raul,Capital is debited for $20,500.

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