[JaclynCarol]

Tim Snyder and Jay Wise have decided to form a partnership. They have agreed that Snyder is to invest $30,000 and that Wise is to invest $40,000. Synder is to devote full time to the business, and Wise is to devote one-half time. The following plans for the division of income are being considered:

A. Equal division.
B. In the ratio of original investments.
C. In the ration of time devoted to the business.
D. Interestof 10% on original investments and the remainder in the ratio of 3:2
E. Interest of 10% on original investments, salary allowances of $34,000 to Snyder and $17,000 to Wise, and the remainder equally.
F. Plan (e) except that Snyder is also to be allowed a bonus equal to 20% of the amount by which net income exceeds the total salary allowances.

Instructions:
For each plan, determine the division of the net income under each of the following assumptions: (1) net income of $210,000 and (2) net income of $84,000. Present the data in tabular form, using the following columnar headings:

$210,000 84,000

Plan Snyder Wise Snyder Wise