Financial Accounting: E12-11 J. Lynn, M. Oller, and F. Tate share income on a 5:3:2 basis
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Financial Accounting E12-11 Journalize admission of a new partner by purchase of an interest J. Lynn, M. Oller, and F. Tate share income on a 5:3:2 basis. They have capital balances of $30,000, $26,000, and $18,000, respectively, when Doc Duran is admitted to the partnership. J. Lynn 30,000 5 M. Oller 26,000 3 F. Tate 18,000 2 Totals 74,000 10
Instructions Prepare the journal entry to record the admission of Doc Duran under each of the following assumptions: a. Purchase of 50% of Lynn's equity for $19,000: b. Purchase of 50% of Oller's equity for $12,000. c. Purchase of 33 1/3% of Tate's equity for $9,000.