Benoit, Cedric and Dorian are partners in BCD Associates. The partnership agreement provides that income be allocated in the following manner:
1) Each partner receives interest of 15% of beginning capital.
2) Benoit receives an annual salary of $75,000 and Cedric receives an annual salary of $60,000.
3) Dorian receives a bonus of 20% of partnership income after deducting interest, salaries and bonus.
4) Any remaining income is shared in a 2:4:4 ratio.
5) All provisions are to be fully implemented.
The partnership income for the year was $300,000. Beginning capital balances are: Benoit $330,000; Cedric $150,000; Dorian $95,000.
Required
Determine the allocation of partnership income among the partners.

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The Answer of Benoit, Cedric and Dorian are partners in BCD Associates. The partnership agreement provides that income be allocated in the following manner:
1) Each partner receives interest of 15% of beginning capital.
2) Benoit receives an annual salary of $75,000 and Cedric receives an annual salary of $60,000.
3) Dorian receives a bonus of 20% of partnership income after deducting interest, salaries and bonus.
4) Any remaining income is shared in a 2:4:4 ratio.
5) All provisions are to be fully implemented.
The partnership income for the year was $300,000. Beginning capital balances are: Benoit $330,000; Cedric $150,000; Dorian $95,000.
Required
Determine the allocation of partnership income among the partners.

Benoit, Cedric and Dorian Are Partners in BCD Associates