Wonder Purchased One-Half of Darwin's Interest in the Todd and Darwin

question 118

Essay

Wonder purchased one-half of Darwin's interest in the Todd and Darwin Partnership for $50,000. Prior to the investment, land was revalued to a market value of $175,000 from a book value of $100,000. Todd and Darwin share net income equally. Darwin had a capital balance of $40,000 prior to these transactions.​Required
(a) Provide the journal entry for the revaluation of land.
(b) Provide the journal entry to admit Wonder.

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Definitions:

John B. Watson

An American psychologist who is considered one of the founders of behaviorism; he emphasized the importance of observable behaviors over internal processes.

Operant Conditioning

A method of learning that occurs through rewards and punishments for behavior.

Voluntary Responses

Actions that are performed deliberately and with awareness, typically as a result of conscious decision making.

Psychodynamic Perspective

A view in psychology which emphasizes the role of unconscious processes and past experiences in shaping behaviors and personalities.