Just 4 and 5 only!

Problem 14-2 (LO 2, 3, 5, 6) Capital balances under the bonus and goodwill methods. A partnership has assets of $210,000 and liabilities of $95,000. The capital infor- mation for the current partners is as follows: Partner A Partner B Partner C Profit and loss percentages . . .. . . 50% 30% 20% $70,000 $15,000 Given the above information, respond to each of the following independent fact situations: 1. Assuming new Partner D acquired 20% of Partner B's interest from B for consideration of 2. Assume that the above assets are understated by $25,000. If new Partner D were to acquire a $30,000 $15,000, what is Partner B's capital balance after this transaction? would be the suggested value of the consideration? mind that D would also be acquiring a 30% interest in profits? tal balance after the transaction, assuming use of the bonus method? 30% interest in the partnership by rnaking a contribution of assets to the partnership, what 3. If the above assets were overstated by $25,000, what amount of consideration should new Partner D convey to the partnership in exchange for a 25% interest in capital, keeping in 4. If new Partner D conveyed assets with a fair market value of $66,000 to the partnership in exchange for a 3090 interest in capital and a 25% interest in profits, what would be B's capi- 5. Assume the same facts as item (4) above, except assume use of the goodwill method. What would be B's capital balance after the transaction? 6. Assume that the above recognized assets are understated by $25,000 and new Partner D con veys assets with a fair market value of $70,000 to the partnership in exchange for a 30% interest in capital and a 25% interest in profits, what would be A's capital balance after the 2