Steve and Roger allocate 2/3 of the profits and losses to Steve and 1/3 to Roger. If the net income of the firm is $30,000, calculate the share of Roger's net income.
A)$20,000
B)$10,000
C)$30,000
D)$25,000

Question

Quizplus · Accepted Answer

Since Steve and Roger allocate 2/3 and 1/3 of the profits and losses respectively, we can calculate their share of net income as follows:
Steve's share = (2/3) * $30,000 = $20,000
Roger's share = (1/3) * $30,000 = $10,000
Therefore, the share of Roger's net income is $10,000.

Steve and Roger Allocate 2/3 of the Profits and Losses