The partnership agreement of k. mitch and a. alam reflects differences in service and capital contributions as follows: (1) annual salary allowances of $20,000 to mitch and $40,000 to alam (2) annual interest allowances of 10% of a partner's beginning-year capital balance, and (3) equal share of any remaining balance of income or loss. both partner's beginning-year capital balance was $70,000. net income was $100,000. income allocated to alam is $

The answer is: $60,000

Explanation:

Since we are given the total revenue and total expenses for this partnership, we can elaborate the following income statement:

Total revenue                          $100,000

Total expenses

Mitch's salary           $20,000

Alam's salary           $40,000

                                                ($60,000)

Net income                               $40,000

Their partnership agreement stated that all net income should be divided equally between both partners, so Mitch will receive $20,000 and Alam $20,000.

Alam's total income = $40,000 + $20,000 = $60,000

if you use only 25 for your entertainment and only 200 for the groceries that you really need and take out the 50 per month for the computer then that should be enough