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Tony and Tanya are looking to form a new partnership. Tony contributes the following to the...

Tony and Tanya are looking to form a new partnership.

Tony contributes the following to the partnership: Equipment, $875; Building, $6,790; Notes Payable,

$2,100; and Cash, $260.

Tanya contributes the following: Accounts Receivable, $900 with an allowance for doubtful accounts of$160; Inventory, $675; Cash, $125; and Accounts Payable, $250. Prepare the journal entry to record the partners’ contributions on November 1, 2019.

Business   Accounting   
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Answer #1
Date General Journal Debit Credit
November 1, 2019 Cash 260
Equipment 875
Building 6790
       Notes Payable 2100
      Tony, Capital 5825
(To record Tony's contribution)
Date General Journal Debit Credit
November 1, 2019 Cash 125
Accounts Receivable 900
Inventory 675
       Allowance for doubtful accounts 160
       Accounts Payable 250
      Tanya, Capital 1290
(To record Tanya's contribution)
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