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Question - Don, Marion and Jed are liquidating their partnership. At the date the liquidation begins, Don, Marion and Jed have capital account balances of 147,000, 260,000 and 285,000 respectively and partners share profit and losses at 35:25:40 respectively. In addition, the partnership has a 28,000 notes payable to Don and 15,000 notes receivable from Jeff. When the liquidation begins, what is the loss absorption power with respect to Donald?
A. 80,000
B. 340,000
C. 420,000
D. 500,000
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