The partners of Apple,Bere,and Carroll LLP share net income and losses in a 5:3:2 ratio,respectively.The capital account balances on January 1,2008,were as follows: 
The carrying amounts of the assets and liabilities of the partnership are the same as their current fair values.Dorr will be admitted to the partnership with a 20% capital interest and a 20% share of net income and losses in exchange for a cash investment.The amount of cash that Dorr should invest in the partnership is:
A) $25,000.
B) $30,000.
C) $37,500.
D) $75,000.
E) $90,000.
Correct Answer:
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