Connie and Marcos are partners who share profits and losses in a ratio of 3:2,respectively,and have the following capital balances on September 30,20x5:
The partners agree to admit Trevor to the partnership.Calculate the capital balances of each partner after the admission of Trevor,assuming that bonuses are recorded when appropriate for each of the following assumptions:
a.Trevor pays Connie $50,000 for 50 percent of her interest
b.Trevor invests $50,000 for a one-fourth interest in the partnership
c.Trevor invests $50,000 for a 30 percent interest in the partnership
d.Trevor invests $50,000 for a 20 percent interest in the partnership

Question

Connie and Marcos are partners who share profits and losses in a ratio of 3:2,respectively,and have the following capital balances on September 30,20x5:
 The partners agree to admit Trevor to the partnership.Calculate the capital balances of each partner after the admission of Trevor,assuming that bonuses are recorded when appropriate for each of the following assumptions:
a.Trevor pays Connie $50,000 for 50 percent of her interest
b.Trevor invests $50,000 for a one-fourth interest in the partnership
c.Trevor invests $50,000 for a 30 percent interest in the partnership
d.Trevor invests $50,000 for a 20 percent interest in the partnership

Quizplus · Accepted Answer

The Answer of Connie and Marcos are partners who share profits and losses in a ratio of 3:2,respectively,and have the following capital balances on September 30,20x5:
 The partners agree to admit Trevor to the partnership.Calculate the capital balances of each partner after the admission of Trevor,assuming that bonuses are recorded when appropriate for each of the following assumptions:
a.Trevor pays Connie $50,000 for 50 percent of her interest
b.Trevor invests $50,000 for a one-fourth interest in the partnership
c.Trevor invests $50,000 for a 30 percent interest in the partnership
d.Trevor invests $50,000 for a 20 percent interest in the partnership

Connie and Marcos Are Partners Who Share Profits and Losses