In the ABC partnership (to which D seeks admittance), the capital balances of A, B, and C, who share income in the ratio of 5:3:2, are: A, capital P1,000,000 B, capital 600,000 C, capital 400,000 How much is the estimated amount to be invested by D for a 20% interest?
Partnership Accounting
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings, admission of a new partner, etc.
Partner Admission and Withdrawal
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings of a partner, etc.
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In the ABC partnership (to which D seeks admittance), the capital balances of A, B, and C, who share
income in the ratio of 5:3:2, are:
|
A, capital |
P1,000,000 |
|
B, capital |
600,000 |
|
C, capital |
400,000 |
How much is the estimated amount to be invested by D for a 20% interest?
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