Skip to main content
Jun 4, 2020 5:05 AM UTC
Question

How should I record a share buyout transaction using company's cash? The buyout amount is greater than that Partner's Equity account. I will be sole owner of the business

Original commenter did not share additional details

1 reply

asha_kanta_sharma
Jul 18, 2020 9:19 AM UTC
Partner's Equity needs to be debited and Bank Needs to be credited....

Please also clarify why buyout amount is greater then equity amount...