Joe & Sam Co. reports net income of $28,000. Interest allowances are Joe $7,000 and Sam $5,000;

Question:

Joe & Sam Co. reports net income of $28,000. Interest allowances are Joe $7,000 and Sam $5,000; salary allowances are Joe $15,000 and Sam $10,000; the remainder is shared equally. Show the distribution of income on the income statement.

Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...