Corporate Restructuring
Unruh Grey and Carter are partners with capital balances of $80,000, $200,000, and $120,000, respectively. Profits and losses are shared in a 3:2:1 ratio. Grey decided to withdraw and the partnership revalue its assets. The value of inventory was decreased by $20,000 and the value of land was increased by $50,000. Unruh and Carter then agreed to pay Grey $230,000 for his withdrawal from the partnership.
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ashford university
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20 Nov 2015