A partnership has the following capital balances: Henry (50% of gains and losses) . . . .

Question:

A has the following capital balances:
Henry (50% of gains and losses) . . . . . . . . . . . . $ 135,000
Thomas (30%) . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 85,000
Catherine (20%) . . . . . . . . . . . . . . . . . . . . . . . . . ... 80,000
Anne is going to invest $125,000 into the business to acquire a 40 percent ownership interest. is to be recorded. What will be Anne's beginning capital balance?
a. $125,000
b. $170,000
c. $200,000
d. $245,000
Goodwill
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