(SOLVED) Henry Miller and Lawrence a partnership is considering admitting Keegan


Question Description:

$19

Henry, Miller, and Lawrence, a partnership, is considering admitting Keegan Thompson as a new partner. On July 31, 2016, the capital accounts of the three existing partners and their profit-and-loss-sharing ratio is as follows:
Requirements
Journalize the admission of Thompson as a partner on July 31 for each of the following independent situations:
1. Thompson pays Lawrence $210,000 cash to purchase Lawrence’s interest.
2. Thompson contributes $105,000 to the partnership, acquiring a 1/4 interest in the business.
3. Thompson contributes $105,000 to the partnership, acquiring a 1/6 interest in the business.
4. Thompson contributes $105,000 to the partnership, acquiring a 1/3 interest in the business.

Answer

$19