In the AD Partnership,Allen's Capital Is $140,000 and Daniel's Is

question 26

Multiple Choice

In the AD partnership,Allen's capital is $140,000 and Daniel's is $40,000 and they share income in a 3:1 ratio,respectively.They decide to admit David to the partnership.Each of the following questions is independent of the others.
-Refer to the information provided above.Assume that David invests $50,000 for a one-fourth interest.Goodwill is to be recorded.The journal to record David's admission into the partnership will include:

• A)a credit to cash for $50,000.
• B)a debit to goodwill for $7,500.
• C)a credit to David,Capital for $60,000.
• D)a credit to David,Capital for $50,000.

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Definitions:

Stressful Situations

Circumstances or events that cause a state of strain or tension, often triggering the body’s response to perceived threats or challenges.

Control

In experimental research, the standard to which comparisons are made by maintaining constant factors aside from the variable being tested.

Success

The achievement of set goals or objectives, often recognized by positive outcomes.

Confidence

A belief or trust in one's abilities, qualities, or judgment, often seen as a foundational psychological trait influencing behavior and mental health.