ple and Mack had the lollowing clause in their partnership agreement: The partners allowed salaries as follows: Cole, P90,000; Mack, P72,000: and these salaries are to be charged against the earnings of the business. In addition, Cole is to be allowed a bonus of 20% of the net income after salaries and interest have been deducted, and this bonus is to be considered as an expense of the business. Any remainder is to be divided equally." If the net income after partners' salaries, interest, and bonus amounts to P397,500, and the interest on Cole's capital account is P37,280 and on Mack's capital account is P65,560, how much must be the share of Cole on the partnership net income?

ple and Mack had the lollowing clause in their partnership agreement: The partners allowed salaries as follows: Cole, P90,000; Mack, P72,000: and these salaries are to be charged against the earnings of the business. In addition, Cole is to be allowed a bonus of 20% of the net income after salaries and interest have been deducted, and this bonus is to be considered as an expense of the business. Any remainder is to be divided equally." If the net income after partners' salaries, interest, and bonus amounts to P397,500, and the interest on Cole's capital account is P37,280 and on Mack's capital account is P65,560, how much must be the share of Cole on the partnership net income?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Define writing an option
__________ is a process by which information and understanding are transferred between a sender and a receiver.
please help with the question that is attached as a picture. thanks
only answer d now please
Could I see the journal entries please?
Define Gift card.
Write a about memorandum message
How does someone set up an RRSP account? What is an RRSP
Define writing an option
You want me to get a