Dawn, Garret and Josh have partnership capital account balances of $225200, $450000 and $105400, respectively. The income sharing ratio is Dawn, 50%; Garret, 40%; and Josh, 10%. Dawn desires to withdraw from the partnership and it is agreed that partnership assets of $195400 will be used to pay Dawn for her partnership interest. The balances of Garret’s and Josh’s Capital accounts after Dawn’s withdrawal would be

• Garret, $426100, Josh, 999000.
• Garret, 474000, Josh, $110800,
• Garret, $435650; Josh, $90150.
• Garret, $450400; Josh, $104900.

Answer rating: 100% (QA)

Solution Dawn Beginning capial Account balance 22520000 Less P... View the full answer