ELISE and FIORA are considering forming a partnership whereby profits will beallocated through the use of salaries and bonuses. Bonuses will be 10% of net income after total salaries and bonuses....

ELISE and FIORA are considering forming a partnership whereby profits will beallocated through the use of salaries and bonuses. Bonuses will be 10% of net income after total salaries and bonuses. ELISE will receive a salary of P30,000 and a bonus. FIORA has the option of receiving a salary of P40,00 and a 10% bonus or simply receiving a salary of P52,000. Both partners will receive the same amount of bonus.


Determine the level of net income that would be necessary so that FIORA would be indifferent to the profit sharing option selected.