Brown invested $200,000 and Freeman invested $150,000 in a partnership.They agreed to an interest allowance on the partners' beginning-year capital investments at 10%,with the balance to be shared equally.Under this agreement,the shares of the partners when the partnership earns $205,000 in income are:
A)$102,500 to Brown;$102,500 to Freeman.
B)$117,143 to Brown;$87,857 to Freeman.
C)$122,500 to Brown;$82,500 to Freeman.
D)$105,000 to Brown;$100,000 to Freeman.
E)$112,750 to Brown;$92,250 to Freeman.

Question

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The Answer of Brown invested $200,000 and Freeman invested $150,000 in a partnership.They agreed to an interest allowance on the partners' beginning-year capital investments at 10%,with the balance to be shared equally.Under this agreement,the shares of the partners when the partnership earns $205,000 in income are:
A)$102,500 to Brown;$102,500 to Freeman.
B)$117,143 to Brown;$87,857 to Freeman.
C)$122,500 to Brown;$82,500 to Freeman.
D)$105,000 to Brown;$100,000 to Freeman.
E)$112,750 to Brown;$92,250 to Freeman.

Brown Invested $200,000 and Freeman Invested $150,000 in a Partnership