In an admission by purchase of interest, the journal entry to record a cash contribution of the new partner is a debit to cash.

In an admission by contribution of asset, the partnership equity will increase.

When the actual contributed capital is not equal with the capital credit, the difference representing a bonus will be distributed to the partners based on their original capital contribution ratio.

When the amount paid by a new partner is different from the amount credited to his/her capital account,

Which of the following journal entries represent a transfer of interest?

Which of the following will not dissolve a partnership?

When a bonus belongs to the new partner, the old partners' capital accounts

If a partner retires, can the partnership give him/her assets other than cash?

A, B and C are partners in ABC Partnership with capital balances of P100,000, P100,000 and P50,000 respectively and sharing profits or losses in 2:2:1. With the consent of all the partners, D is admitted by contributing P50,000 in exchange for a 15% interest in the partnership equity. How much will be the capital credit of D upon admission?

A and B are partners in AB Co. with a capital contribution of P50,000 and P30,000, respectively. They share profits or losses 3:2. If C is to be admitted by purchasing 20% interest of the partners' capital balances by paying P20,000, how much is the new partnership equity?

The balance sheet is prepared prior to incorporation of the partnership:

Cash - 23,000; Accounts receivable - 12,000; Inventory - 10,000; Other assets - 45,000; Accounts payable - 7,000; Notes payable - 13,000

Prior to incorporation, the following has to be considered: (1) an allowance of 2,000 will be set up; and, (2) an accrued expense of 3,500 is to be recorded.

Determine the share capital upon incorporation.