Share of the income

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 Singer and McMann are partners in a business. Singer's original capital was $40,000 and McMann's was $60,000. They agree to salaries of $12,000 and $18,000 for Singer and McMann respectively and 10% interest on original capital. If they agree to share remaining profits and losses on a 3:2 ratio, what will McMann‘s share of the income be if the income for the year was $30,000?

1. $18,600

2. $20,000

3. $17,400

4. $18,000

Reference no: EM13138083

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