Steve King and Chelsy Stevens formed a partnership dividing

Steve King and Chelsy Stevens formed a partnership, dividing income as follows: Annual salary allowance to Stevens of $179,800. Interest of 5% on each partner\'s capital balance on January 1. Any remaining net income divided to King and Stevens, 1:2. King and Stevens had $77,600 and $82,520, respectively, in their January 1 capital balances. Net income for the year was $310,000. How much is distributed to King and

Distribution to partners :

	King	stevens	Total
Net income			310000
Less : Allowance salary		179800	(179800)
Less: Interest on capital	3880	4126	(8006)
			122194
Profit distribution	40731	81463	(122194)
Total distribution	44611	265389

$Steve King and Chelsy Stevens formed a partnership, dividing income as follows: Annual salary allowance to Stevens of $179,800. Interest of 5% on each partner\'$

Steve King and Chelsy Stevens formed a partnership dividing

Solution

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