27. Lori and Peter enter into a partnership and decide to share profits and losses as follows: 1. The first allocation is a salary allowance with Lori receiving $16,000 and Peter receiving $18,000. 2. The second allocation is 15% of the partners' capital balances at year end. On December 31, 2019, the capital balances for Lori and Peter are $90,000 and $20,000, respectively. 3. Any remaining profit or loss is allocated equally. For the year ending December 31, 2019, the partnership reported net income of $55,000. What is Lori's share of the net income? A) $29,500 B) $20,250 C) $31,750 D) $23,250