A local partnership has two partners, Penny and Amy. Penny has a capital balance of $150,000 and Amy has a capital balance of $125,000. These two partners share profits and losses 60 percent (Penny) and 40 percent (Amy). Joyce invests $75,000 in cash in the partnership for a 25 percent ownership. The bonus method will be used. What is Joyces capital balance after this new investment?

$120,000.

$142,500.

$130,000.

$157,500.

$87,500.