How much of the net income is allocated to seth

Reference no: EM131975528

Problem

Seth and Beth have original investments of $50,000 and $100,000 respectively in a partnership. The articles of partnership include the following provisions regarding the division of net income: interest on original investment at 10%; salary allowances of $27,000 and $18,000, respectively; and the remainder to be divided equally. How much of the net income of $42,000 is allocated to Seth?

Reference no: EM131975528

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