Professional Documents
Culture Documents
Dissolution
Dissolution
AboutTheories
this template
2
Admission of a partner
3
Admission of a partner
Purchase of interest
- A new partner may be admitted when he purchases part or all of the interest of one or more
of the existing partners
- Is a personal transaction
- Any consideration paid or received by a partner is not recorded in the books
- Only the transfer of equity is recorded, a new capital account is established
- No gain or loss
4
Admission of a partner
Purchase of interest
5
Admission of a partner
Purchase of interest
6
Admission of a partner
Purchase of interest
7
Admission of a partner
Purchase of interest
8
Admission of a partner
Purchase of interest
9
Admission of a partner
Purchase of interest
10
Admission of a partner
Revaluation of assets
- Assets and liabilities carried over to the new partnership should be restated to Fair Values
- Adjustment to the asset and liabilities is allocated first to the existing partners
- After revaluation, record the admission of the new partner
11
Admission of a partner
Revaluation of assets
12
Admission of a partner
Revaluation of assets
13
Admission of a partner
Revaluation of assets
14
Admission of a partner
15
YouPurchase
can also vs
split
Investment
your content
Purchase Investment
- Incoming partner’s contribution, - Incoming partner’s contribution,
not recorded recorded
- Partnership capital remains the - Partnership capital increases
same
- No gain or loss - No gain or loss
16
Admission of a partner
17
Admission of a partner
18
Admission of a partner
19
Admission of a partner
20
Admission of a partner
21
Admission of a partner
22
Admission of a partner
23
Admission of a partner
24
Withdrawal, retirement, or death of a partner
Purchase
- A transaction between and among partners
- Settlement amount is not recorded in the books, only transfer within equity
26
Withdrawal, retirement, or death of a partner
27
Withdrawal, retirement, or death of a partner
28
Withdrawal, retirement, or death of a partner
29
Withdrawal, retirement, or death of a partner
30
Withdrawal, retirement, or death of a partner
31
Withdrawal, retirement, or death of a partner
32
Withdrawal, retirement, or death of a partner
33
Withdrawal, retirement, or death of a partner
34
Withdrawal, retirement, or death of a partner
35
Withdrawal, retirement, or death of a partner
36
Withdrawal, retirement, or death of a partner
37
Salamuch!
ANY QUESTIONS?
🏃 🔨🐟🐟🐟🐟 💣
38