Question

Steven is admitted to a partnership with a 20% capital interest by a cash investment of $368000. If total capital of the partnership is
$1565000 before admitting Steven, the bonus to Steven is
O $184000.
O $9300.
O $193300.
O $18600.

Answer 1

Answer: $1,840,000

Step-by-step explanation:

Calculate the total capital of the partnership by dividing the cash investment by the capital interest. Step 1 Calculate the total capital of the partnership by dividing the cash investment $368,000 by the capital interest 20%.$368,000/20%=$1,840,000