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Dividing Partnership Net Income Steve Conyers and Chelsy Dane formed a partnership, dividing income as follows: Annual salary allowance to Conyers of $35,000. Interest of
Dividing Partnership Net Income
Steve Conyers and Chelsy Dane formed a partnership, dividing income as follows:
Annual salary allowance to Conyers of $35,000.
Interest of 8% on each partner's capital balance on January 1.
Any remaining net income divided equally.
Dane and Conyers had $39,000 and $109,000, respectively, in their January 1 capital balances. Net income for the year was $175,000. How much net income should be distributed to Conyers?
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