Partners Thomas and Elaine have agreed to share profits and losses in an 80:20 ratio respectively, after Thomas is allowed a salary allowance of $30600 and Elaine is allowed a salary allowance of $15000. If the partnership had net income of $30400 for 2020, Elaine's share of the income would be $18440. $3200. $15200. $11960.

Partners Thomas and Elaine have agreed to share profits and losses in an 80:20 ratio respectively, after Thomas is allowed a salary allowance of $30600 and Elaine is allowed a salary allowance of $15000. If the partnership had net income of $30400 for 2020, Elaine's share of the income would be $18440. $3200. $15200. $11960.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter15: Partnership Accounting

Section: Chapter Questions

Problem 2EA: The partnership of Chase and Chloe shares profits and losses in a 70:30 ratio respectively after...

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