Assume the partnership of Dean, Hardin, and Roth has been

Assume the partnership of Dean, Hardin, and Roth has been in existence for a number of years. Dean decides to withdraw from the partnership when the partners’ capital balances are as follows:

Partner Capital Balance Profit and Loss Ratio

Dean 60,000 40%

Hardin 15,000 30%

Roth 25,000 20%

An appraisal of the business and its property estimates the fair value to be $100,000. Dean has agreed to receive $64,000 in exchange for his partnership interest.

What are the remaining partners’ capital balances after Dean’s interest is dissolved, assuming the bonus method is applied? Explain