Fred and Barney started a partnership. During Year 1, Fred invested $11,000 in the business and Barney invested $19,500. The partnership agreement called for each partner to recelve an annual distribution equal to $12% of his capital contribution. Any further earnings were to be retained in the business and divided equally between the partners. The partnership reported net income of $26,000 during Year 1. How will the $26,000 of net income be split between Fred and Barney respectively? (Hint: Consider both the cash withdrawals and allocation of remaining income.) Fred Barney. Multiple Choice $9,850$8,830 $11,000$15,000 $13,000$13,000 $12,490$13,510