Answer:
$8,000 by Shahi and $12,000 by Vaughn.
Explanation:
Given that,
Investment of Shahi = $80,000 with 40% share
Investment of Vaughn = $90,000 with 60% share
Investment of Williams = $80,000 with 40% interest
Total capital after admission of Paul Williams:
= Investment of Williams + Investment of Shahi + Investment of Vaughn
= $80,000 + $80,000 + $90,000
= $250,000
Williams's share in new capital:
= Total capital after admission of Paul Williams × Interest
= $250,000 × 40%
= $100,000
Bonus paid to Williams:
= Williams's share in new capital - Investment of Williams
= $100,000 - $80,000
= $20,000
Therefore, the bonus paid to Williams will be contributed by old partners:
D. Shahi Contributed = $20,000 × 40%
= $8,000
K. Vaughn contributed = $20,000 × 60%
= $12,000
