Refer to Table 6. Assuming Bud is given a 12.5% interest in the partnership for a $60,000 cash investment, the entry to record his investment includes a:
A. credit to Bud, capital for $40,000
B. debit to Donna, capital for $6,000
C. credit to Rick, capital for $8,000
D. credit to Bud, capital for $60,000
Answer:A
Refer to Table 6. Assuming Bud is given a 12.5% interest in the partnership for a $60,000 cash investment, the entry to record his investment includes a:
A. credit to Bud, capital for $40,000 B. debit to Donna, capital for $6,000 C. credit to Rick, capital for $8,000 D. credit to Bud, capital for $60,000