arnold a bower b and chambers c are partners in a small manufacturing firm whose net assets are as follows

The partnership agreement calls for the allocation of profits and losses as follows:
a. Salaries to A, B, and C of $30,000, $30,000, and $40,000, respectively.
b. Bonus to A of 10% of net income after the bonus.
c. Remaining amounts are allocated according to profit and loss percentages of 50%, 20%, and 30% for A, B, and C, respectively.
Unfortunately, the business finds itself in difficult times: Annual profits remain flat at approximately $132,000, additional capital is needed to finance equipment which is necessary to stay competitive, and all of the partners realize that they could make more money working for someone else, with a lot fewer headaches.
Chambers has identified Dawson (D) as an individual who might be willing to acquire an interest in the partnership. Dawson is proposing to acquire a 30% interest in the capital of the partnership and a revised partnership agreement, which calls for the allocation of profits as follows:
a. Salaries to A, B, C, and D of $30,000, $30,000, $40,000, and $30,000, respectively.
b. Bonus to D of $20,000 if net income exceeds $250,000.
c. Remaining amounts are allocated according to profit and loss percentages of 30%, 10%, 30%, and 30% for A, B, C, and D, respectively.
An alternative to admitting a new partner is to liquidate the partnership. Net personal assets of the partners are as follows: