Assume that the partners share profits and losses 3322


Question: The E.N.D. partnership has the following capital balances as of the end of the current year:


Pineda                     $ 330,000

Adams                       290,000

Fergie                        260,000

Gomez                       240,000

Total capital          $ 1,120,000

Assume that the partners share profits and losses 3:3:2:2, respectively. Fergie retires and is paid $296,000 based on the terms of the original partnership agreement. If the goodwill method is used, what is the capital balance of the remaining three partners?

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Accounting Basics: Assume that the partners share profits and losses 3322
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