Partners Acer and Barr Have Capital Balances in a Partnership

Partners Acer and Barr have capital balances in a partnership of $40,000 and $60,000, respectively. They agree to share profits and losses as follows: If net loss for the year was $2,000, what will be the distribution to Barr?

A) $12,000 income
B) $1,000 income
C) $1,000 loss
D) $2,000 loss