Assume the partnership of Howell, Madrid and Waldrop has been in existence for a number of years. Howell decides to withdraw from the partnership when the partners’ capital balances are as follows:

Partner: …………….. Capital Balance: …………Profit/Loss Ratio

Howell ………………………. $60,000 ………………………………4

Madrid ……………………… 15,000 ……………………………….3

Waldrop ……………………. 25,000 ……………………………….2

An appraisal of the business and its net assets estimates the fair value to be $154,000. Land with a book value of $20,000 has a fair value of $35,000. Howell has agreed to receive $84,000 in exchange for her partnership interest.
What are the remaining partners’ capital balances after Howell’s interest is dissolved, assuming the goodwill method is applied?