Bally, Jeet and Candy are in partnership selling DVDs via their website Bolly.com.

They havent been very successful in the past year and in the year ended 30 June 2019, recorded a loss of $120,000 Their partnership agreement states the following:

interest on capital to be provided at 4% per annum

Candy to be allocated a salary of $25,000, and Jeet $14,000

no interest to be charged on drawings

balance of profits to be shared in the ratio 4:3:1.

Capital balances at the start of the year stood as follows:

Bally $35,000

Jeet $26,000

Candy $40,000

How much profit or loss is allocated to Candy?

A $6,220

B $36,220

C ($34,540)

D ($54,920)