Floyd and Merriam start a partnership business on June 12, 2019. Their capital account balances as of December 31, 2020 stood as follows: Floyd agrees to sell half of his share to Ramelow in exchange for $32,000 cash. Which of the following is the correct journal entry in the books of the firm for the above transfer of interest?

Question

Floyd and Merriam start a partnership business on June 12, 2019. Their capital account balances as of December 31, 2020 stood as follows:  Floyd agrees to sell half of his share to Ramelow in exchange for $32,000 cash. Which of the following is the correct journal entry in the books of the firm for the above transfer of interest?

Quizplus · Accepted Answer

The Answer of Floyd and Merriam start a partnership business on June 12, 2019. Their capital account balances as of December 31, 2020 stood as follows:  Floyd agrees to sell half of his share to Ramelow in exchange for $32,000 cash. Which of the following is the correct journal entry in the books of the firm for the above transfer of interest?

Floyd and Merriam Start a Partnership Business on June 12