Cornell and Roberts Are Partners Who Agree to Admit Stanley

question 91

Essay

Cornell and Roberts are partners who agree to admit Stanley to their partnership.Cornell has a capital balance of $80,000 and Roberts has a capital balance of $120,000.Cornell and Roberts share net income in the ratio of 7:3 respectively.Prepare journal entries to admit Stanley to the partnership based on the following independent agreements.Round all amounts to the nearest dollar.
a_Stanley invests $150,000 cash into the partnership for a 20% interest.
b_Stanley invests $150,000 cash into the partnership for a 45% interest.
c_Stanley purchases one-quarter of Cornell's capital for $35,000.

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Subjective

Based on or influenced by personal feelings, tastes, or opinions rather than external facts.

Wellbeing

Refers to a state of being comfortable, healthy, or happy, encompassing both physical and psychological health.

Decentration

The cognitive ability to consider multiple aspects of a situation simultaneously, crucial for developing logic in children.

Egocentric

A developmental stage where an individual is unable to differentiate between their own perspective and that of others, often seen in early childhood.