Hewlett and Martin are partners. Hewlett's capital balance in the partnership is $63,000, and Martin's capital balance $60,000. Hewlett and Martin have agreed to share equally in income or loss. The existing partners agree to accept Black with a 20% interest. Black will invest $35,200 in the partnership. The bonus that is granted to Hewlett and Martin equals:

• $3,520 each.

• $1,780 each.

• $1,803 each.

• 1,803 to Hewlett; $1,760 to Martin.

• $0, because Hewlett and Martin actually grant a bonus to Black.