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Ramer and Knox began a partnership by investing $63,000 and $93,000, respectively. The partners agreed to share net income and loss by giving annual salary
Ramer and Knox began a partnership by investing $63,000 and $93,000, respectively. The partners agreed to share net income and loss by giving annual salary allowances of $51,500 to Ramer and $41,200 to Knox, 12% interest allowances on their investments, and any remaining balance shared equally. (Enter all allowances as positive values. Enter losses as negative values.) Required: 1. Determine each partner's share given a first-year net income of $101,800. 2. Determine each partner's share given a first-year net loss of $19,800.
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