Reed and Carson are partners. Their partnership agreement provides that, in dividing profits, each is to be allocated interest at 10 percent of her beginning capital balance. The balance of net income or loss after the interest allowances is to be split in the ratio of 70:30 to Reed and Carson, respectively. The beginning capital balances were Reed, $130,000 and Carson, $34,000. Net income for the year was $250,000. Compute the amount of net income to be allocated to each partner.