Floyd and Merriam Start a Partnership Business on June 12

question 129

Short Answer

Floyd and Merriam start a partnership business on June 12, 2019. Their capital account balances as of December 31, 2020 stood as follows: Floyd agrees to sell half of his share to Ramelow in exchange for $32,000 cash. Which of the following is the correct journal entry in the books of the firm for the above transfer of interest?

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Definitions:

Confidential

Information or materials that are private or secret and not to be shared with unauthorized individuals.

Unique

Being the only one of its kind; unlike anything else, often referred to in the context of unique selling propositions or features.

Copyright Infringement

The violation of the exclusive rights granted to the creators of original works of authorship, such as literary, musical, and artistic works.

Screen Displays

Visual output devices or parts of devices that show text, images, or videos, typically found on computers, smartphones, and other electronic devices.