Question

Please help

Answer 1

Applying the interest allowance method, compute Julie’s and Jennifer’s share of net income if Julie invested $40,000 and Jennifer invested $24,000 at an 8% interest rate, with the remainder to be divided equally. Net income was $10,000.
A. Julie $3,200; Jennifer $1,920
B. Julie $6,250; Jennifer $3,750
C. Julie $5,640; Jennifer $4,360
D. None of the above

Answer 2

Start by eliminating the choices that are not true.

Answer 3

which is?

Answer 4

@SapphireMoon

Answer 5

I'm not quite sure I understand the question, @erib, sorry. Is this money in the same account? I don't know what the interest allowance method is either...