Michael and George have been in partnership for several years, sharing profits and losses in the ratio 3:4. At 1 January they had the following credit balances on their capital and current accounts:

Capital $ Current $

Michael 65,000 11,486

Donald 80,000 9,637

The partnership statement of profit or loss for the year to 31 December shows a net profit of $28,595, and the partners had made drawings of $16,500 each.

Required:

Calculate the balance of Michaels current account at 31 December.

(10 marks)