Distribution of Income or Losses: Salaries and Interest E5R. Assume that the partnership agreement of Shah and Ruben in E4A states that Shah and Ruben are to receive salaries of $40,000 and $48,000, respectively; that Shah is to receive 6 percent interest on his capital balance at the beginning of the year; and that the remainder of income and losses are to be shared equally. Calculate the distribution of the income or losses under the following conditions: 1. Income totaled $240,000 before deductions for salaries and interest. 2. Income totaled $96,000 before deductions for salaries and interest. 3. There was a loss of $4,000. 4. There was a loss of $80,000. Distribution of Income E4A. Isha Shah and Brian Ruben agreed to form a partnership. Shah contributed $400,000 in cash, and Ruben contributed assets with a fair market value of $800,000. The partner- ship, in its initial year, reported net income of S240,000. Calculate the distribution of the first year's income to the partners under each of the following conditions: 1. Shah and Ruben failed to include stated ratios in the partnership agreement. 2. Shah and Ruben agreed to share income and losses in a 3:2 ratio. 3. Shah and Ruben agreed to share income and losses in the ratio of their original investments. 4. Shah and Ruben agreed to share income and losses by allowing 10 percent interest on original investments and sharing any remainder equally