Luqmann and Idris share profits and losses equally. Luqmann and Idris receive salary allowances of $40,000 and $60,000, respectively, and both partners receive 10% interest on their average capital balances. Luqmann is entitled to a bonus of 5% after deduction of the bonus. Partners' drawings are not used in determining the average capital balances. Total Net Income for 2016 is $252,000

Luqmann

January 1 capital balances: $100,000

Yearly Drawings ($1,500 a month): $18,000

Permanent Withdrawls of capital (July 1): (12,000)

Additional Investments of capital (August 1): $40,000

Idris

January 1 capital balances: $120,000

Yearly Drawings ($1,500 a month): $18,000

Permanent Withdrawls of capital (June 1): (15,000)

Additional Investments of capital (November 1): $50,000

1. What is the weighted-average capital for the Luqmann and Idris in 2016?

2. What will be the final profit allocations for Luqmann and Idris in 2016?