Xavier and Yolanda Have Original Investments of $50,000 and $100,000

question 153

Multiple Choice

Xavier and Yolanda have original investments of $50,000 and $100,000, respectively, in a partnership. The articles of partnership include the following provisions regarding the division of net income: interest on original investment at 20%; salary allowances of $34,000 and $26,000, respectively; and the remainder to be divided equally. How much of the net income of $120,000 is allocated to Xavier?

• A) $59,000
• B) $61,000
• C) $49,000
• D) $44,000

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Definitions:

Honest Signals

Communicative actions or displays that convey accurate information about an organism's capabilities, intentions, or genetic quality to others.

Redundant Signals

Multiple signals or messages that convey the same information, potentially increasing the reliability of communication.

Begging Frequencies

The rate at which offspring, particularly in birds, vocalize or display behaviors to request food from their parents.

Ground-nesting Warblers

Birds that belong to the warbler group and build their nests on the ground rather than in trees, adapting certain behaviors to protect their eggs and young from predators.