Itzizz44 Itzizz44

24-05-2024
Mathematics

Answered

Steve Jack and Chelsy Poodle formed a partnership, dividing income as follows:
1. Annual salary allowance to Poodle of $122,640.
2. Interest of 6% on each partner's capital balance on January 1.
3. Any remaining net income divided to Jack and Poodle, 1:2.
Jack and Poodle had $63,000 and $117,000, respectively, in their January 1 capital balances. Net income for the year was $219,000.
How much net income should be distributed to Jack and Poodle?

Answer :

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