Jack Herington has owned and operated a proprietorship for several years. On Jan

Question

Jack Herington has owned and operated a proprietorship for several years. On January 1, he decides to terminate this business and become a partner in the firm of Herington and Kaspar. Herington's investment in the partnership consists of $11,585 in cash, and the following assets of the proprietorship: accounts receivable $14,101 less allowance for doubtful accounts of $1,778, and equipment $20,022 less accumulated depreciation of $4,477. It is agreed that the allowance for doubtful accounts should be $2,667 for the partnership. The fair market value of the equipment is $12,927.

Instructions

Journalize Herington's admission to the firm of Kaspar and Herington.

3 DEBIT AND 2 CREDIT

Explanation / Answer

mmddyy Cash Dr 11,585 Acct Rxable Dr 14,101 Eqpt Acct Dr 12,927 Allow for Doubtful Acct Cr 2667 Herington' Capital Cr 35,946

Related Questions

Navigate

• Browse (All)
• Browse J
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.