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5. Barbara Stone and James Lovejoy form a partnership with capital contributions of $700,000 and $800,000...

5. Barbara Stone and James Lovejoy form a partnership with capital contributions of $700,000 and $800,000 respectively. Their partnership agreement calls for Barbara Stone to receive $150,000 in salary and each partner is to receive a 15% interest allowance on the partner's beginning balance with the remaining income or loss divided equally. If net income for the initial year is $400,000, calculate Barbara Stone and James Lovejoy's respective share of net income and record the entry. 6. Barbara Stone and James Lovejoy form a partnership with capital contributions of $700,000 and $800,000 respectively. Their partnership agreement calls for Barbara Stone to receive $150,000 in salary and each partner is to receive a 15% interest allowance on the partner's beginning balance with the remaining income or loss divided equally. If net income for the initial year is $100,000, calculate Barbara Stone and James Lovejoy's respective share of net income and record the entry.

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