Question

The Howell and Parks Partnership has partner capital accountbalances as follows: Howell, Capital $550,000 Parks, Capital250,000 The partners share income and losses in the ratio of 60% toHowell and 40% to Parks. Instructions Prepare the journal entry onthe books of the partnership to record the admission of Tyler as anew partner under the following two independent circumstances.

1. Tyler pays $350,000 to Howell and $150,000 to Parks forone-half of each of their ownership interest in a personaltransaction.

2. Tyler invests $850,000 in the partnership for a one-thirdinterest in partnership capital.

Please show calculations on how you got to each answer. Thankyou