Refer to Table 6. Assuming Bud is given a 20% interest in the partnership for an $80,000 cash investment, the entry to record his investment includes a:
A. credit to Bud, capital for $80,000
B. debit to loss on sale of partnership interest for $12,000
C. debit to Daisy, capital for $4,800
D. credit to Donna, capital for $3,600
Answer:D
Refer to Table 6. Assuming Bud is given a 20% interest in the partnership for an $80,000 cash investment, the entry to record his investment includes a:
A. credit to Bud, capital for $80,000 B. debit to loss on sale of partnership interest for $12,000 C. debit to Daisy, capital for $4,800 D. credit to Donna, capital for $3,600