Stone and Mill have decided to form a partnership.  They are in the process of agreeing on how the profits/losses will be divided.  Assume that the company is anticipating net income of $75,000 for the first time period. Determine Stone's share of the net income if the partner's agree on interest allowance of 10% on the original investments and annual salary allowance of $31,000 for Stone and $23,000 for Mill with the remainder equally. Further assume an original investment of $30,000 for Stone and $24,000 for Mill.

	Stone	Mill	Total
Interest Allowances (10%)
Salary Allowances	$31,000	$23000
Remainder Equally
Totals	?		$75,000

A). $33,200 

B). $37,500 

C). $41,800 

D).$45,000

Answer rating: 100% (QA)

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