Christie and Jergens formed a partnership with capital contributions of $350,000 and $450,000, respectively. Their partnership agreement calls for Christie to receive a $65,000 per year salary allowance. Also, each partner is to receive an interest allowance equal to 8% of the partner's beginning capital investments. The remaining income or loss is to be divided equally. If the net income for the current year is S144,000, then Christie and Jergens's respective shares of income are: Multiple Choice S43.000, $101,000. thing $72,000: S72.000 s100.500: $43,500. S93,000 S36.000. 563.000, S81,000

Christie and Jergens formed a partnership with capital contributions of $350,000 and $450,000, respectively. Their partnership agreement calls for Christie to receive a $65,000 per year salary allowance. Also, each partner is to receive an interest allowance equal to 8% of the partner's beginning capital investments. The remaining income or loss is to be divided equally. If the net income for the current year is S144,000, then Christie and Jergens's respective shares of income are: Multiple Choice S43.000, $101,000. thing $72,000: S72.000 s100.500: $43,500. S93,000 S36.000. 563.000, S81,000

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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Question

Christie and Jergens formed a partnership with capital contributions of $350,000 and $450,000, respectively. Their partnership
agreement calls for Christie to receive a $65,000 per year salary allowance. Also, each partner is to receive an interest allowance
equal to 8% of the partner's beginning capital investments. The remaining income or loss is to be divided equally. If the net income
for the current year is S144,000, then Christie and Jergens's respective shares of income are: Multiple Choice S43.000, $101,000.
thing $72,000: S72.000 $100.500: $43,500. S93,000 S36.000. 563.000, $81,000

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