Susan desires to purchase a one-fifth capital and profit and loss interest in the partnership...
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Accounting
Susan desires to purchase a one-fifth capital and profit and loss interest in the partnership of Tony, Mary, and Ron. The three partners agree to sell Susan one-fifth of their respective capital and profit and loss interests in exchange for a total payment of $100,000. The payment is made directly to the individual partners. The capital accounts and the respective percentage interests in profits and losses immediately before the sale to Susan follow: 8. Capital Accounts $210,000 130,000 Percentage Interests in Profits and Losses 50% 35 15 Tony Mary Ron Total 60,000 $400,000 All other assets and liabilities are fairly valued and implied goodwill is to be recorded prior to the acquisition by Susan. Immediately after Susan's acquisition, what should be the capital balances of Tony, Mary, and Ron, respectively
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