Mary,Ann,and Beth Are Partners

Mary,Ann,and Beth are partners.Their capital balances are,$23,000; $41,000; and $30,000,respectively.As per the partnership agreement,Mary receives a profit share of 2/9; Ann has 4/9; and Beth has 3/9.Beth withdraws from the partnership by receiving $23,000.What will be the impact of this transaction on the journal entries?

A) Cash will be debited for $30,000.
B) Mary, Capital will be debited for $7000.
C) Ann, Capital will be credited for $7000.
D) Beth, Capital will be debited for $30,000.

Correct Answer:

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