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Dividing Partnership Net Income Steve King and Chelsy Boxer formed a partnership, dividing income as follows: Annual salary allowance to Boxer of $127,680. Interest of
Dividing Partnership Net Income
Steve King and Chelsy Boxer formed a partnership, dividing income as follows:
- Annual salary allowance to Boxer of $127,680.
- Interest of 5% on each partner's capital balance on January 1.
- Any remaining net income divided to King and Boxer, 1:2.
King and Boxer had $57,000 and $99,000, respectively, in their January 1 capital balances. Net income for the year was $228,000.
Required:
How much net income should be distributed to King and Boxer? King: $fill in the blank 1 Boxer: $fill in the blank 2
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