Federal Trade Commission regulations require that: A. all used cars be sold with a warranty. B. used car buyers be informed if the vehicle comes with a warranty. C. used cars over 100,000 miles cannot be sold. D. major repairs must be made on all used cars offered for sale.
From the first condition, Nancy already has $1,300. From the second condition, Nancy will also receive 10% of her capital balance which is 10% of $100,000 or $10,000. In total, Nancy has a share of $11,300. So, Betty’s share is the remaining amount from the $40,000 net income which is$28,700