Jane and Castle are partners and share equally in income or loss. Jane's current capital balance is $140,000 and Castle's is $130,000. Jane and Castle agree to accept Sean with a 30% interest in the partnership. Sean invests $108,000 in the partnership. The amount credited to Sean's capital account is:
A) $108,000.
B) $102,600.
C) $110,500.
D) $115,000.
E) $113,400.

Question

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The Answer of Jane and Castle are partners and share equally in income or loss. Jane's current capital balance is $140,000 and Castle's is $130,000. Jane and Castle agree to accept Sean with a 30% interest in the partnership. Sean invests $108,000 in the partnership. The amount credited to Sean's capital account is:
A) $108,000.
B) $102,600.
C) $110,500.
D) $115,000.
E) $113,400.

Jane and Castle Are Partners and Share Equally in Income