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J. Lynn, M. Oller, and F. Tate share income on a 5 : 3 : 2 basis. They have capital balances of $30,000, $26,000, and $18,000, respectively, when Doc Duran is admitted to the partnership.
Instructions
Prepare the journal entry to record the admission of Doc Duran under each of the following assumptions.
(a) Purchase of 50% of Lynn's equity for $19,000.
(b) Purchase of 50% of Oller's equity for $12,000.
(c) Purchase of 331⁄3% of Tate's equity for $9,000.
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