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  1.  
    Baker, Gregg, and Stine share income and losses in a ratio of 4:1:5, respectively. The capital account balances of the partners are as follows:
    Baker, Capital 150,000
    Gregg, Capital 90,000
    Stine, Capital 60,000

    Required:
    Prepare the journal entry for the partnership to record the withdrawal of Stine under the following independent circumstances:

    1) The partners agree that Stine should be paid $80,000 by the partnership of his interest.
    2) The partners agree that Stine should be paid $50,000 by the partnership for his interest.
    3) Baker agrees to pay Stine $35,000 for one-half of his capital interest and Gregg agrees to pay Stine $35,000 for the other half of his capital interest in personal transactions among all the partners.

    Thanks for who helps out.
    • CommentAuthorxxxmikexxx
    • CommentTimeFeb 3rd 2010 edited
     
    Figured it out Thanks Anyway.

    1)
    Dr. Baker Cap 16000
    Dr. Gregg Cap 4000
    Dr. Stine Cap 60000
    Cr. Cash 80000

    2)
    Dr. Stine Cap 80000
    Cr. Cash 50000
    Cr. Baker Cap 24000
    Cr. Gregg Cap 6000

    3)
    Dr. Baker Cap 35000
    Cr. Cash 35000

    Dr. Gregg Cap 35000
    Cr. Cash 35000



 

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