The partnership contract of Ann, Bud & Cal LLP provides for the remuneration of partners as follows:

$1.$ Salaries of $$40,000$ to Ann, $$35,000$ to Bud, and $$30,000$ to Cal, to be recognized annually as operating expense of the partnership in the measurement of net income.

$2.$ Bonus of $10\%$ of income after salaries and the bonus to Ann.

$3.$ Remaining net income or loss $30\%$ to Ann, $20\%$ to Bud, and $50\%$ to Cal.

Income of Ann, Bud & Cal LLP before partners' salaries and Ann's bonus was $$215,000$ for the fiscal year ended December $31,2005.$