Benson and Orton are 1:3 income sharing partners with principal balances of $70,000 and $30,000, respectively. They agree to bring Ramsey into the partnership by having Ramsey buy out Benson's half of the equity for $25,000. What is Ramsey's principal balance upon admission to the partnership?

Paul and Roger are 3:2 revenue sharing partners. Their principal balances are $90,000 and $130,000 respectively. The income summary has a credit balance of $50,000. What is Paul's principal balance after closing the Principal Income Summary?