Keith and Jim Are Partners

question 147

Multiple Choice

Keith and Jim are partners. Keith has a capital balance of $50,000 and Jim has a capital balance of $35,000. Jim sells $15,000 of his ownership to Bill. Which of the following is true of the journal entry to admit Bill?

• A)Bill, Capital will be debited for $20,000.
• B)Jim, Capital will be debited for $20,000.
• C)Jim, Capital will be credited for $15,000.
• D)Bill, Capital will be credited for $15,000.

---

Definitions:

General Intelligence

The hypothesis that a single factor of intelligence, known as 'g', underlies individual abilities across different cognitive tasks.

Linguistic Determinism

The hypothesis that the structure of a language affects its speakers' world view or cognition, and thus people's perceptions are relative to their spoken language.

Words

Basic units of communication in language, consisting of one or more phonemes and bearing a specific meaning.

Thinking

The process of considering or reasoning about something, involving cognitive processes to solve problems or make decisions.