Question - Cleary, Wasser, and Nolan formed a partnership on January 1, 2010, with investments of $100,000, $150,000, and $200,000, respectively. For division of income, they agreed to (1) interest of 10% of the beginning capital balance each year, (2) annual compensation of $10,000 to Wasser, and (3) sharing the remainder of the income or loss in a ratio of 20% for Cleary, and 40% each for Wasser and Nolan. Net income was $150,000 in 2010 and $180,000 in 2011. Each partner withdrew $1,000 for personal use every month during 2010 and 2011.
1. What was Wasser's total share of net income for 2010?
A. $63,000.
B. $53,000.
C. $58,000.
D. $29,000.
E. $51,000.
2. What was Nolan's total share of net income for 2010?
A. $63,000.
B. $53,000.
C. $58,000.
D. $29,000.
E. $51,000.
3. What was Nolan's total share of net income for 2011?
A. $34,420.
B. $75,540.
C. $65,540.
D. $70,040.
E. $61,420.