LO3 Distribution of Income E 4. Elijah Samuels and Tony Winslow agreed to form a partnership. Samuels contributed $200,000 in cash, and Winslow contributed assets with a fair market value of $400,000. The partnership, in its initial year, reported net income of $120,000. Calculate the distribution of the first year's income to the partners under each of the following conditions 1. Samuels and Winslow failed to include stated ratios in the partnership agreement 2. Samuels and Winslow agreed to share income and losses in a 3:2 ratio 3. Samuels and Winslow agreed to share income and losses in the ratio of their original investments 4. Samuels and Winslow agreed to share income and losses by allowing 10 percent interest on original investments and sharing any remainder equally Distribution of Income or Losses: Salaries and Interest E5. Assume that the partnership agreement of Samuels and Winslow in E 4 states that Samuels and Winslow are to receive salaries of $20,000 and $24,000, respec- tively; that Samuels 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 fol lowing conditions LO3 1. Income totaled S120,000 before deductions for salaries and interest 2. Income totaled $48,000 before deductions for salaries and interest. 3. There was a loss of $2,000 4. There was a loss of $40,000