Wiley Coyote Also Operates A Mobile Telephone Dealership Rocketfone In Partnersh

Wiley Coyote also operates a mobile telephone dealership, Rocketfone, in partnership with RalphSheepdog from premises owned by Wiley. A partnership agreement specifies that all income andlosses are to be shared in the ratio of 2:1. Transactions recorded by the partnership during 2015/16were as follows.Receipts $Income from trading 396,000Fully franked dividends from Investopedia Ltd 28,000Proceeds from sale of shares in Lamb Supreme Ltd* 7,000PaymentsTrading stock and overheads 84,000Salary paid to Wiley 75,000Salary to Anita Coyote** 45,000Rent paid to Wiley(includes $30,000 paid on 30 June 2016 for 12 months in advance)55,000Interest paid to Ralph on loan 17,000Interest on capital paid to Wiley 15,000Interest on capital paid to Ralph 12,000Superannuation contributed on behalf of Wiley 24,000* the shares had been purchased in 2012 for $1,000** The commissioner has issued a private ruling indicating that a salary of $45,000 wasreasonable.Required:With full explanation:(i) determine the net income of the Rocketfone;(ii) determine the distribution of the net income to the partners; and(iii) list any other items that you believe should be considered in the preparation of Wiley’s taxreturn..