Oliver, Peter, and Wendell are partners in NewTech Company. Their capital balances are $30,000, $22,000, and $15,000

Question:

Oliver, Peter, and Wendell are partners in NewTech Company. Their capital balances are $30,000, $22,000, and $15,000 respectively on November 23, 2014. They share income and losses in the ratio of 3:2:1. Peter retires on November 23, 2014, and has agreed to accept $15,000 for his share of the partnership. Record Peter’s retirement and calculate the resulting balances in the capital accounts.