Announcement

Collapse
No announcement yet.

Parntership Help

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Parntership Help

    My experience with Partnerships is very limited. I have a situation where a company "bought out" a partner. This partner had a negative equity account on the balance sheet but stood to make handsome profits in the future. The "buy out" has already been done and assessed by this financial company. I'm thinking from the business standpoint, is this an expense or an adjustment to equity?

    #2
    Upon research, I am getting that the actual buyout (not associated expenses) is capitalized like an asset? Is that correct?

    Comment

    Working...
    X