Force and Zabala are partners.Force's capital balance in the partnership is $98,000 and Zabala 's capital balance is $53,000.Force and Zabala have agreed to share equally in income or loss.Force and Zabala agree to accept Burns with a 25% interest.Burns will invest $56,000 in the partnership.Which of the following statements is correct?
A) Force's capital balance after the admission of Burns is $50,875.
B) Burns' capital after admission is $51,750.
C) Force's capital after the admission of Burns is $98,000.
D) Burns' capital after admission is $56,000.
E) Zabala's capital balance after the admission of Burns is $53,000.
Correct Answer:
Verified
Q42: The withdrawals account of each partner is:
A)
Q49: In the absence of a partnership agreement,
Q60: Chen and Wright are forming a partnership.
Q61: Shelby and Mortonson formed a partnership with
Q62: When a partner is added to a
Q64: Groh and Jackson are partners.Groh's capital balance
Q65: McCartney,Harris,and Hussin are dissolving their partnership.Their partnership
Q66: Rodriguez,Sate,and Melton are dissolving their partnership.Their partnership
Q67: Brown and Rubix are partners.Brown's capital balance
Q68: During 2013,Schmidt invested $75,000 and Baldwin invested
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents