Dylan Howell and Demond Nickles have decided to form a

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Dylan Howell and Demond Nickles have decided to form a partnership. They have agreed that
Howell is to invest $50,000 and that Nickles is to invest $75,000. Howell is to devote full time to
the business, and Nickles 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
ratio of time devoted to the business.d. Interest of 10% on original investments and the
remainder in the ratio of 3:2.e. Interest of 10% on original investments, salary allowances of
$38,000 to Howell and $19,000 to Nickles, and the remainder equally.f. Plan (e), except that
Howell is also to be allowed a bonus equal to 20% of the amount by which net income exceeds
the total salary allowances.InstructionsFor each plan, determine the division of the net income
under each of the following assumptions:(1) Net income of $420,000 and (2) net income of
$150,000. Present the data in tabular form, using the following columnar headings:
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Dylan Howell and Demond Nickles have decided to form a

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