#1

Adriana and Belen are partners who share income in the ratio of 3:2 and have capital balances of $50,000 and $90,000 at the time they decide to terminate the partnership. After all noncash assets are sold and all liabilities are paid, there is a cash balance of $90,000. How much cash should be distributed to Adriana?

a. $50,000

b. $45,000

c. $20,000

d. $30,000

#2

Emerson and Dakota formed a partnership dividing income as follows:

Annual salary allowance to Emerson of $36,000

Interest of 8% on each partner's capital balance on January 1

Any remaining net income divided equally.

Emerson and Dakota had $34,800 and $120,000, respectively in their January 1 capital balances. Net income for the year was $218,700.

How much net income should be distributed to Emerson?

$= ??????