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Thor and Hulk formed a consulting partnership. They are profits and losses according to their partnership agreement which states: Thor receives a salary allowance of

Thor and Hulk formed a consulting partnership. They are profits and losses according to their partnership agreement which states:

  • Thor receives a salary allowance of $65,000
  • Hulk receives a salary allowance of $100,000 and an interest allowance of $45,000
  • Any remaining unallocated profits/losses are shared 50/50

Profits for the year ending December 31, 2020 were $335,000. Use the profit allocation table below to determine how much of the profit is allocated to Thor and how much is allocated to Hulk.

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