Sara Invests $120,000 for a 30 Percent Interest in a Partnership

question 30

Multiple Choice

Sara invests $120,000 for a 30 percent interest in a partnership in which the other partners have capital totaling $200,000 before admitting Sara.After distribution of the bonus,what is Sara's capital balance?

• A)$60,000
• B)$96,000
• C)$120,000
• D)$144,000

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Definitions:

Subduction Zone

A region of the Earth's crust where two tectonic plates meet and one is forced below the other into the mantle, leading to volcanic activity and earthquakes.

Tilted Blocks

Geologic structures formed by the tilting of rock layers, often due to tectonic forces, creating an angle with the horizontal.

Anticlines

Upwardly convex folds in rock layers that typically have the oldest layers at their core.

Synclines

geological features formed by the downward folding of rock layers, with younger rocks in the core of the fold.