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Leto and Duncan Allow Gunner to Purchase a 25% Interest

question 86

Essay

Leto and Duncan allow Gunner to purchase a 25% interest in their partnership for $30,000 cash. Gunner has exceptional talents that will enhance the partnership. Leto's and Duncan's capital account balances are $55,000 each. The partners have agreed to share income or loss equally. Prepare the general journal entry to record the admission of Gunner to the partnership.


Definitions:

Strategic Fit

The alignment between an organization's strategic goals and the resources and capabilities at its disposal to achieve them.

Target Market

A specific group of consumers at which a product or service is aimed, characterized by shared demographic or psychographic traits.

Success

The achievement of a goal or target, often measured by specific criteria or standards, such as profit, recognition, or accomplishment of personal or professional objectives.

Targeting Strategy

A marketing approach that involves identifying and reaching specific groups within a broader market, based on shared characteristics or needs.

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