$6.$Exercise $12-6($Algo$)$ Income allocation in a partnership LO P$2$

Ramer and Knox began a partnership by investing $$70,000$ and $$100,000,$ respectively. The partners agreed to share net income and

loss by giving annual salary allowances of $$55,000$ to Ramer and $$44,000$ to Knox, $12\%$ interest allowances on their investments, and

any remaining balance shared equally.

Note: Enter all allowances as positive values. Enter losses as negative values.

Required:

Determine each partner's share given a first$-$year net income of $$108,800.$

Determine each partner's share given a first$-$year net loss of $$26,800.$

Complete this question by entering your answers in the tabs below.

Determine each partner's share given a first$-$year net loss of $$26,800.$

Allocation of Partnership Income