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Jell and Dell Were Partners with Capital Balances of $600

Question 31

Multiple Choice

Jell and Dell were partners with capital balances of $600 and $800 and an income sharing ratio of 2:3. They admitted Zell to a 30% interest in the partnership, and the total amount of goodwill credited to the original partners was $700. What amount did Zell contribute to the business?


A) $900.
B) $560.
C) $600.
D) $590.
E) $630.

Correct Answer:

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