LO.3 Liz and Doug were divorced on July 1 of the current year after 10 years of marriage.

Their current year’s income received before the divorce was as follows:

Doug’s salary $41,000 Liz’s salary 55,000 Rent on apartments purchased by Liz 15 years ago 8,000 Dividends on stock Doug inherited from his mother 4 years ago 1,900 Interest on a savings account in Liz’s name funded with her salary 2,400 Allocate the income to Liz and Doug assuming that they live in:

a. California.

b. Texas.