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Question: A partnership has the following capital balances


A partnership has the following capital balances with partners’ profit and loss percentages indicated parenthetically:



A partnership has the following capital balances with partners’ profit and loss -1

Ranzilla agrees to pay a total of $245,000 directly to these three partners to acquire a 25 percent ownership interest from each. The partnership will record goodwill based on the new partner’s payment. What is Donovan’s capital balance after the transaction?
a. $225,000
b. $294,000
c. $392,000
d. $398,000

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