1

Journal Entry
DEBIT
Andy's Equity 19,000
Lando's Equity 13,000
Reyno's Equity 9,000
Don Jernigan's Equity
To Record the purchases of equity by Don Jernigan

TOTAL EQUITY
Andy's Equity 19,000
Lando's Equity 13,000
Reyno's Equity 9,000
Don Jernigan's Equity 41,000
total 82,000

2
a
Partnership capital before Mendoza is admitted(100,000+60,000) 160,000
Mendoza's investment in the partnership 90,000
Partnership capital after Mendoza is admitted 250,000
Mendoza's Capital in the partnership(250,000 X 30%) 75,000
Bonus to the old partner(90,000-75,000) 15,000
Journal Entry
DEBIT
Cash 90,000
Mendoza's Capital
Santos's Capital
Tan's Capital
To Admit Mendoza as partner

Partnership capital before Mendoza is admitted(100,000+60,000) 160,000

Mendoza's investment in the partnership 50,000
Partnership capital after Mendoza is admitted 210,000
Mendoza's Capital in the partnership(210,000 X 30%) 63,000
Bonus to the old partner(63,000-50,000) 13,000
Journal Entry
DEBIT
Cash 50,000
Santos's Capital 6,500
Tan's Capital 6,500
Mendoza's Capital
CREDIT

41,000

CREDIT

75,000
7,500
7,500
CREDIT

63,000