The Amato, Bergin, Chelsey partnership profit allocation agreement calls for salaries of $15,000 and $30,000 for Amato & Bergin, respectively. Amato is also to receive a bonus equal to 10% of partnership income after her bonus. Interest at the rate of 10% is to be allocated to Chelsey based on his weighted average capital after draws. Chelsey began the current year with a capital balance of $54,000 and had the following subsequent activity: 3/1 withdraw $20,0000 7/1 withdraw $10,000 9/1 contribute $5,000 10/1 contribute $12,000 Required: Assuming the partnership has income of $66,000, determine the amounts to be allocated to each partner. Amato Bergin Chelsey
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