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Ants, Bees, and Caterpillars are partners with capital balances of $30,000, $30,000 and $12,000 and who share in the profit and loss of the ABC
Ants, Bees, and Caterpillars are partners with capital balances of $30,000, $30,000 and $12,000 and who share in the profit and loss of the ABC partnership 30%, 20%, and 50%, respectively, when they agree to admit Dragonfly for a 20% interest. If Dragonfly is to contribute an amount equal to his book value share of the new partnership, how much should Dragonfly contribute?
A. $14,000 B. $20,000 C. $25,000 D. $18,000 E. $11,520
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