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Joe Smith owned a NFL collectibles business named Joe’s Pig Skin. In 1994, Joe brought Adam Ant and Bobbi Brown into the business which they reformed as a partnership named Joe’s Skin Collectibles. Joe contributed as capital to the partnership inventory and supplies of the old business, valued at 20,000. Adam and Bobbi each contributed 13,332 in cash to the partnership, and each paid $6,666 to Joe for his rights in the existing business. The partners agreed to share profits and losses with 52% going to Joe and 24% each going to Adam and Bobbi. Less than a year later, Joe dies and his wife sought to receive the value of his interest in the partnership. An accountant valued the partnership at $89,178.88. The partnership’s creditors were the accountant for $1,750, Mrs. Smith for $990, Adam for $4,374 and Bobbi $1,800. What was the value of the Smith’s partnership interest?
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