Problem 14-2(LO2,3,5,6)Capital balances under the bonus and goodwillmethods.A partnership has assets of $210,000 and liabilities of $95,000. The capital infor-mation for the current partners is as follows:Partner APartner BPartner CProfit and loss percentages . . . . . . . . . . . . . . . . . .50%30%20%Capital balances . . . . . . . . . . . . . . . . . . . . . . . . . .$70,000$30,000$15,000Given the above information, respond to each of the following independent fact situations: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 As capital balance after thetransaction, assuming use of the bonus method?7. Assuming the same facts as item (6) above, what amount of goodwill is suggested by thetransaction?8. Assume the same facts as item (7) above, except that Partner D acquired their interest for$25,000 cash. What amount of goodwill is suggested by the transaction?9. Assume that Partner B sold their interest to the partnership for $51,000 and that previouslyrecognized assets are understated by $30,000. What would be Partner As capital balance,assuming use of the goodwill method where goodwill traceable to the entire entity is