Caitlin, Chris, and Molly are partners and share income and losses in a 3:4:3 ratio (in ratio form: Caitlin, 3/10; Chris, 4/10; Molly, 3/10). The partnership's capital balances are Caitlin, $139,000; Chris, $99,000; and Molly, $119,000. Paul is admitted to the partnership on July 1 with a 20% equity and invests $79,000. The balance in Paul's capital account immediately after his admission is: Multiple Choice $90,800 $357,000 $198,000 $107,200 $87,200
Caitlin, Chris, and Molly are partners and share income and losses in a 3:4:3 ratio (in ratio form: Caitlin, 3/10; Chris, 4/10; Molly, 3/10). The partnership's capital balances are Caitlin, $139,000; Chris, $99,000; and Molly, $119,000. Paul is admitted to the partnership on July 1 with a 20% equity and invests $79,000. The balance in Paul's capital account immediately after his admission is: Multiple Choice $90,800 $357,000 $198,000 $107,200 $87,200
Chapter15: Partnership Accounting
Section: Chapter Questions
Problem 3EA: The partnership of Tasha and Bill shares profits and losses in a 50:50 ratio, and the partners have...
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Transcribed Image Text:Caitlin, Chris, and Molly are
partners and share income and
losses in a 3:4:3 ratio (in ratio
form: Caitlin, 3/10; Chris, 4/10;
Molly, 3/10). The partnership's
capital balances are Caitlin,
$139,000; Chris, $99,000; and
Molly, $119,000. Paul is admitted
to the partnership on July 1 with a
20% equity and invests $79,000.
The balance in Paul's capital
account immediately after his
admission is:
Multiple Choice
$90,800
$357,000
$198,000
$107,200
$87,200
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