4.9 Capital balances of Ann and Eloida before the admission of May andCristel are shown below.AnP 20,000Eloida30,000P 50,000They share profits 20% to Ann and 80% to Eloida. May investsP 10,000 for a 15% interest and Cristel; invests P 10,000 for a 10%interest in the new firm. The agreed new capital is P 80,000.REQUIRED: Give the entry (compound entry) to record the admission0000of the new partners.

The partnership comes into existence when two or more persons agree to do the business and further…

Answered: Capital balances of Ann and Eloida…

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter3: The Financial Environment: Markets, Institutions And Investment Banking

Section: Chapter Questions

Problem 16PROB

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