Lori and Peter enter into a partnership and decide to share profits and losses as follows:...
Homework Answers
| Lori | Peter | Total | |
| Salary allowance | 12000 | 14000 | 26000 |
| Interest on partners' capital balances | 16000 | 3200 | 19200 |
| Total before allocation of remaining income | 45200 | ||
| Remaining income | 73800 | ||
| Remaining income allocation | 36900 | 36900 | |
| Share of the net income | 64900 | 54100 | |
| Option A $64,900 is correct |
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Lori and Peter enter into a partnership and decide to share profits
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