A partnership recorded the following journal entry: $\begin{array}{|l|r|r|}
\hline \text { Cash } & 60,000 \
\hline \text { B. Founder, Capital } & 10,000 & \
\hline \text { R. Aqui, Capital } & 10,000 & \
\hline \text { H. Joiner, Capital } & & 80,000 \
\hline
\end{array}$ This entry reflects:
A) Acceptance of a new partner who invests $60,000 and receives a $20,000 bonus.
B) Withdrawal of a partner who pays a $10,000 bonus to each of the other partners.
C) Addition of a partner who pays a bonus to each of the other partners.
D) Additional investment into the partnership by Founder and Aqui.
E) Withdrawal of $10,000 each by Founder and Aqui upon the admission of a new partner.

Question

Quizplus · Accepted Answer

The entry reflects the acceptance of a new partner who invests $60,000. The capital accounts of B. Founder and R. Aqui are credited with $10,000 each, indicating they receive a bonus, while H. Joiner's capital account is credited with $80,000, showing the new partner's capital balance after the bonus.

A Partnership Recorded the Following Journal Entry This Entry Reflects: A) Acceptance of a New Partner Who

A Partnership Recorded the Following Journal Entry This Entry Reflects:
A) Acceptance of a New Partner Who