Use the following information to answer the question below
Ata. Bubu and Chikum were in partnership sharing profits and losses in proportion to their capital contributions:
Capital Drawings
Ata 40,000 8,000
Bubu 30,000 5000
Chikum 20,000 -
Net profit for the year was 40,500 and the interest on capital was 5% per annum.

The profit available for sharing by the partners is


A. N90,000
B. N40,500
C. N36,000  
D. N27,500

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Correct Answer: C