Dividing Partnership Net Income

Required:

Steve Conyers and Chelsy Stevens formed a partnership, dividing income as follows:

1. Annual salary allowance to Conyers of $157,920.
2. Interest of 5% on each partner's capital balance on January 1.
3. Any remaining net income divided to Conyers and Stevens, 1:2.

Conyers and Stevens had $51,000 and $117,000, respectively, in their January 1 capital balances. Net income for the year was $282,000. How much is distributed to Conyers and Stevens?

Note: Compute partnership share. Conyers: $____________ Stevens: $____________