Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Ramer and Knox began a partnership by investing $70,000 and $105,000, respectively. During its first year, the partnership earned $210,000. Prepare calculations showing how the $210,000 income is allocated under each separate plan for sharing income and loss. Exercise 12-5 (Algo) Part 2 Income allocation in a partnership LO P2 2. The partners agreed to share income and loss in proportion to their initial investments. Net income is $210,000. (Do not round Intermediate calculations.) of Income Fraction to Allocate Ramer's Share Ramer Fraction to Allocate Knox's Share of Total Income Knox Income Allocated $70,000/$175,000 $ 84,000 $105,000/$175,000 $ 126,000 $ 210,000 Ramer and Knox began a partnership by investing $70,000 and $105,000, respectively. During its first year, the partnership earned $210,000. Prepare calculations showing how the $210,000 income is allocated under each separate plan for sharing income and loss. Exercise 12-5 (Algo) Part 3 Income allocation in a partnership LO P2 3. The partners agreed to share income by giving a $60,000 per year salary allowance to Ramer, a $42,000 per year salary allowance to Knox, 8% interest on their initial capital investments, and the remaining balance shared equally. Net income is $210,000. (Enter all allowances as positive values. Enter losses as negative values.) Net Income Salary allowances Ramer Knox Total $ 210,000 $ 60,000 $ 42,000 6,000 102,000 3,360 9,360 111,360 Interest allowances Total salary and interest Balance of income Balance allocated equally Balance of income Shares of the partners $ 66,000 $ 45,360 0 Ramer and Knox began a partnership by investing $71,000 and $101,000, respectively. The partners agreed to share net income and loss by giving annual salary allowances of $55,500 to Ramer and $44,400 to Knox, 10% 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 $109,800. 2. Determine each partner's share given a first-year net loss of $27,800. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine each partner's share given a first-year net income of $109,800. Allocation of Partnership Income Ramer Net Income (loss) Salary allowances Balance of income (loss) Interest allowances Balance of income (loss) Balance allocated equally Balance of income (loss) Shares of the partners Knox Total $ 109,800 0 0