Jimmy, Johnny, and Joey are partners in the 3J Company sharing profits and losses equally. Joey has decided to leave the partnership. After all accounts have been updated, the capital balances of the partners are currently $90,000, $120,000, and $70,000, respectively. Refer to Table 12-8. Assume Joey takes $50,000 in cash and a promissory note for $20,000. The entry to record his with drawal includes a O A. O B. credit to Joey, Capital for $50,000 debit to Joey, Capital for $70,000 C. debit to Joey, Capital for $50,000 O D. credit to Joey, Capital for $70,000
Jimmy, Johnny, and Joey are partners in the 3J Company sharing profits and losses equally. Joey has decided to leave the partnership. After all accounts have been updated, the capital balances of the partners are currently $90,000, $120,000, and $70,000, respectively. Refer to Table 12-8. Assume Joey takes $50,000 in cash and a promissory note for $20,000. The entry to record his with drawal includes a O A. O B. credit to Joey, Capital for $50,000 debit to Joey, Capital for $70,000 C. debit to Joey, Capital for $50,000 O D. credit to Joey, Capital for $70,000
Chapter15: Partnership Accounting
Section: Chapter Questions
Problem 1PB: The partnership of Magda and Sue shares profits and losses in a 50:50 ratio after Mary receives a...
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Transcribed Image Text:Jimmy, Johnny, and Joey are partners in the 3J Company sharing profits and losses equally. Joey has decided to leave the partnership. After all accounts have been updated, the
capital balances of the partners are currently $90,000, $120,000, and $70,000, respectively.
Refer to Table 12-8. Assume Joey takes $50,000 in cash and a promissory note for $20,000. The entry to record his with drawal includes a
O A.
O B.
credit to Joey, Capital for $50,000
debit to Joey, Capital for $70,000
C. debit to Joey, Capital for $50,000
O D. credit to Joey, Capital for $70,000
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