Bernardo and Belo formed a partnership in the year 2009. The partnership agreement provides for annual salary allowances of P110,000 for Bernardo and P90,000 for Belo. The partners share profits equally and losses in a 60:40 ratio. The partnership had a profit of P180,000 for the year 2009 before any allowance to partners. What amount should be credited to Bernardo's capital account as a result of the distribution of the partnership profit?

Bernardo and Belo formed a partnership in the year 2009. The partnership agreement provides for annual salary allowances of P110,000 for Bernardo and P90,000 for Belo. The partners share profits equally and losses in a 60:40 ratio. The partnership had a profit of P180,000 for the year 2009 before any allowance to partners. What amount should be credited to Bernardo's capital account as a result of the distribution of the partnership profit?

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter4: Gross Income: Concepts And Inclusions

Section: Chapter Questions

Problem 12DQ

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