A and B's partnership agreement provides for annual salary allowances of 160,000 for A and 80,000 for B. Profits are shared equally, while losses on a 70:30 ratio. The partnership earned profit of P200,000. Requirement: Compute for the respective shares of the partners the profit.
A and B's partnership agreement provides for annual salary allowances of 160,000 for A and 80,000 for B. Profits are shared equally, while losses on a 70:30 ratio. The partnership earned profit of P200,000. Requirement: Compute for the respective shares of the partners the profit.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![A and B's partnership agreement provides for annual salary allowances of 160,000 for A and 80,000 for
B. Profits are shared equally, while losses on a 70:30 ratio. The partnership earned profit of P200,000.
Requirement: Compute for the respective shares of the partners the profit.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Feb230afd-d4a1-4e3e-aed3-2ccc68ae1a08%2F9e539dce-22ff-4ae7-89b6-c51491145105%2Fpw5emy_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A and B's partnership agreement provides for annual salary allowances of 160,000 for A and 80,000 for
B. Profits are shared equally, while losses on a 70:30 ratio. The partnership earned profit of P200,000.
Requirement: Compute for the respective shares of the partners the profit.
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