Jose and Christina are partners sharing profits and losses with a ratio of 3/5 and 2/5 respectively; their capital investments were: Jose, $160,000; Christina, $120,000. Melinda, a new partner, comes in for 1/4 share and brings capital of $120000. In this case, Jose will receive Group of answer choices a bonus of $12,000 a bonus of $20,000 no bonus,a bonus of $8,000
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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