Anna and Naomi Are Partners

question 148

Multiple Choice

Anna and Naomi are partners.Anna has a capital balance of $49,000 and Naomi has a capital balance of $42,000.Gary invested $27,000 to acquire an ownership interest of $18,000.Which of the following is TRUE of the partnership journal entry to record the receipt of Gary's contribution? (Assume the existing partners equally divide the bonus.)

• A) Cash is debited for $27,000 and Gary, Capital is credited for $18,000.
• B) Cash is debited for $18,000 and Gary, Capital is credited for $18,000.
• C) Cash is credited for $27,000 and Gary, Capital is debited for $18,000.
• D) Cash is credited for $18,000 and Gary, Capital is debited for $18,000.

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A contemporary perspective or understanding of a subject, reflecting the latest developments or ideas.

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In logic and reasoning, it refers to the attribute of an argument where if the premises are true, the conclusion necessarily follows.

Validity Rules

The set of rules or criteria used to assess whether the logical structure of an argument is valid, ensuring that if the premises are true, the conclusion necessarily follows.

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An error in reasoning that renders an argument invalid, often due to irrelevant premises or faulty connections between ideas.