Answer:
A. $74,000
Explanation:
Since in this question, Tiffany is retired so we have to find the new ratio which is shown below:
As Tiffany take the shares of both the partners in 3: 2
So, the new ratio would be
Ron share = (3 ÷ 5) × (1 ÷ 6) = 3 ÷ 30
Stella share = (2 ÷ 5) × (1 ÷ 6) = 2 ÷ 30
So the ratio would be 3: 2
The 1 ÷ 6 is the Tiffany ratio
Now the balance after Tiffany withdraws from the partnership equals to
= Paid amount by Tiffany - Tiffany capital
= $60,000 - $50,000
= $10,000
Ron's given amount = ($10,000 × 3 ÷ 5) = $6,000
So, Ron's capital balance equals to
= Ron's capital - Ron's given amount
= $80,000 - $6,000
= $74,000
