Hillary,Bruce,and Cindy Own a Partnership Firm

Hillary,Bruce,and Cindy own a partnership firm.Hillary has an ownership interest of $24,000;Bruce has an ownership interest of $41,000;and Cindy has an ownership interest of $30,000.In the process of liquidation,the partnership sells non-cash assets and registers a gain of $30,000.The profit-loss sharing agreement is 1/6 to Hillary;2/6 to Bruce;and 3/6 to Cindy.Which of the following is true when a journal entry for the allocation of gain is recorded?

A) Hillary,Capital is credited for $10,000.
B) Cindy,Capital is credited for $15,000.
C) Hillary,Capital is debited for $10,000.
D) Cindy,Capital is credited for $10,000.

Correct Answer:

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