Bob and Tom form a partnership on January 1, 2014. Bob contributes $50,000, while Tom contributes $100,000 cash and a building worth $200,000. The building is subject to a mortgage of $40,000, which is assumed by the partnership. They agree to share profits and losses equally. Tom’s capital account on January 1, 2014, should be:

a.

$155,000

b.

$260,000

c.

$300,000

d.

$280,000