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Nabb & Fry Co. reports net income of $28,200. Interest allowances are Nabb $7,40

ID: 2418891 • Letter: N

Question

Nabb & Fry Co. reports net income of $28,200. Interest allowances are Nabb $7,400 and Fry $4,400; salary allowances are Nabb $15,000 and Fry $10,800; the remainder is shared equally. Show the distribution of income on the income statement. (If an amount reduces the account balance then enter with a negative sign preceding the number e.g. -15,000 or parenthesis e.g. (15,000).)

Division of Net Income

Nabb

Fry

Total

Open Show Work

Division of Net Income

Nabb

Fry

Total

Salary allowance

$

$

$

Interest allowance

Remaining deficiency

Total division of net income

$

$

$

Explanation / Answer

Nabb Fry Total Salary allowance 15000 10800 25800 Interest allowance 7400 4400 11800 Remainder defeciency -4700 -4700 -9400 Total division of income 17700 10500 28200