Hewlett and Martin Are Partners

Multiple Choice

Hewlett and Martin are partners.Hewlett's capital balance in the partnership is $64,000,and Martin's capital balance $67,000.Hewlett and Martin have agreed to share equally in income or loss.The existing partners agree to accept Black with a 20% interest.Black will invest $35,000 in the partnership.The bonus that is granted to Hewlett and Martin equals:

A) $900 each.
B) $1,500 each.
C) $600 each.
D) 600 to Hewlett;$900 to Martin.
E) $0,because Hewlett and Martin actually grant a bonus to Black.