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Julie Lane, Sara Miles, and Amber Noll have capital balances of $47,900, $35,200, and $29,600, respectively

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Julie Lane, Sara Miles, and Amber Noll have capital balances of $47,900, $35,200, and $29,600, respectively. The profit and loss ratio is 5:3:2. Assume Noll withdraws from the partnership on December 31 of the current year under each of the following independent conditions:

 

1.

Miles agrees to purchase all of Noll's equity by paying $32,810 cash from her personal assets.

2.

Noll withdraws $29,600 cash from the partnership.

3.

Noll withdraws $35,200 cash from the partnership.

 

Journalize the withdrawal of Noll under each of the above assumptions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

 

Date

Account Titles and Explanation

Debit

Credit

(1) Dec. 31

select an account title to record withdrawal of a partner on December 31

                                                                       

Income Summary

S. Miles, Drawings

Cash

A. Noll, Capital

S. Miles, Capital

enter a debit amount

enter a credit amount

select an account title to record withdrawal of a partner on December 31

                                                                       

Income Summary

S. Miles, Capital

A. Noll, Capital

Cash

S. Miles, Drawings

enter a debit amount

enter a credit amount

(To record withdrawal of a partner.)(2) Dec. 31

select an account title to record withdrawal of a partner on December 31

                                                                       

A. Noll, Drawings

S. Miles, Capital

Cash

Income Summary

A. Noll, Capital

enter a debit amount

enter a credit amount

select an account title to record withdrawal of a partner on December 31

                                                                       

A. Noll, Drawings

Income Summary

S. Miles, Capital

Cash

A. Noll, Capital

enter a debit amount

enter a credit amount

(To record withdrawal of a partner.)(3) Dec. 31

select an account title to record withdrawal of a partner on December 31

                                                                       

Income Summary

J. Lane, Capital

A. Noll, Capital

Cash

S. Miles, Capital

enter a debit amount

enter a credit amount

select an account title to record withdrawal of a partner on December 31

                                                                       

Income Summary

Cash

A. Noll, Capital

J. Lane, Capital

S. Miles, Capital

enter a debit amount

enter a credit amount

select an account title to record withdrawal of a partner on December 31

                                                                       

S. Miles, Capital

Income Summary

J. Lane, Capital

Cash

A. Noll, Capital

enter a debit amount

enter a credit amount

select an account title to record withdrawal of a partner on December 31

                                                                       

S. Miles, Capital

J. Lane, Capital

Income Summary

A. Noll, Capital

Cash

enter a debit amount

enter a credit amount

(To record withdrawal of a partner.)

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Determine the balances in the partners' capital accounts and in total partners' equity after Noll has withdrawn, for conditions 1 and 3 above. (Do not leave any answer field blank. Enter 0 for amounts.)

 

Condition 1

J. Lane

CapitalS. Miles

CapitalA. Noll

CapitalTotal

CapitalBeginning balance

$

enter a dollar amount

 $

enter a dollar amount

 $

enter a dollar amount

 $

enter a dollar amount

 Ending balance

$

enter a dollar amount

 $

enter a dollar amount

 $

enter a dollar amount

 $

enter a dollar amount

 

 

Condition 3

J. Lane

CapitalS. Miles

CapitalA. Noll

CapitalTotal

CapitalBeginning balance

$

enter a dollar amount

 $

enter a dollar amount

 $

enter a dollar amount

 $

enter a dollar amount

 Ending balance

$

enter a dollar amount

 $

enter a dollar amount

 $

enter a dollar amount

 $

enter a dollar amount