Frodo, Sam, and Merry form a partnership where each partner will have an equal share to start. Frodo contributes $100,000 in equipment, Sam contributes $20,000 cash, and Merry contributes $15,000 in cash and $15,000 in equipment. Immediately after formation, Frodos capital account would reflect a balance of:

Question 21 options:

A) $100,000 credit

B) $20,000 debit

C) $50,000 credit

D) $50,000 debit