3.13 The partnership of Con and Rad started on June 1, 200C with an initial investment of P 200,000 and P 250,000, respectively. After one year of operations, the partnership reported a loss of P 8,000 after treating interest and salary allowances as expenses. In the partnership contract, the following provisions were indicated: * 10% interest on the original investment * Salaries of P 20,000 and P 48,000 for Con and Rad, respectively. * Con is allowed a bonus of 10% of the net income before interest, salary and bonus allowances. * Residual income: equally REQUIRED: Show how the profit or loss was distributed.

3.13 The partnership of Con and Rad started on June 1, 200C with an initial investment of P 200,000 and P 250,000, respectively. After one year of operations, the partnership reported a loss of P 8,000 after treating interest and salary allowances as expenses. In the partnership contract, the following provisions were indicated: * 10% interest on the original investment * Salaries of P 20,000 and P 48,000 for Con and Rad, respectively. * Con is allowed a bonus of 10% of the net income before interest, salary and bonus allowances. * Residual income: equally REQUIRED: Show how the profit or loss was distributed.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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ii.9
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How much was the share of A?
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