Betsy Ross and Delia Smart Were the Only Partners in a New

Multiple Choice

Betsy Ross and Delia Smart were the only partners in a new business. Betsy contributed $100,000 to the business and Delia contributed $50,000. No thought was given as to how profits were to be divided. At the end of the first year the business made $30,000 profit, and Betsy had done 50% more work than Delia. How will the profits be shared?

A) As there was no express agreement, the Partnership Act will apply to establish the split.
B) The split will be according to their respective contribution of capital, so Betsy will get $20,000 and Delia $10,000.
C) The split will be according to their respective contribution of labour, so Betsy will get $18,000and Delia $12,000
D) The split will be equal
E) Both A and D