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Question: revaluing and contributing assets to a partnership demarco lee invested...

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Revaluing and Contributing Assets to a Partnership

Demarco Lee invested $51,000 in the Camden & Sayler partnership for ownership equity of $51,000. Prior to the investment, equipment was revalued to a market value of $353,000 from a book value of $284,000. Kevin Camden and Chloe Sayler share net income in a 1:3 ratio.

Required:

a. Provide the journal entry for the revaluation of equipment.

For a compound transaction, if an amount box does not require an entry, leave it blank.

b. Provide the journal entry to admit Lee.

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