PROBLEM 13. Pixel and Quiel are partners operating a chain of retail stores. The partnership agreement provides for the following: Pixel Quiel Salaries P5,000 P2,500 Interest on capital balance 10% 10% Bonus 20% of net income before interest but after bonus and salaries Remainder 30% 70% The income summary account for the year shows a credit balance of P25,500 before any deductions. Average capital balances for Pixel and Quiel are P25,000 and P37,500 respectively. 25) The share of Pixel in the P25,500 net income would be:
PROBLEM 13. Pixel and Quiel are partners operating a chain of retail stores. The partnership agreement provides for the following: Pixel Quiel Salaries P5,000 P2,500 Interest on capital balance 10% 10% Bonus 20% of net income before interest but after bonus and salaries Remainder 30% 70% The income summary account for the year shows a credit balance of P25,500 before any deductions. Average capital balances for Pixel and Quiel are P25,000 and P37,500 respectively. 25) The share of Pixel in the P25,500 net income would be:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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PROBLEM 13. Pixel and Quiel are partners operating a chain of retail stores. The partnership agreement provides for the following: Pixel Quiel Salaries P5,000 P2,500 Interest on capital balance 10% 10% Bonus 20% of net income before interest but after bonus and salaries Remainder 30% 70% The income summary account for the year shows a credit balance of P25,500 before any deductions. Average capital balances for Pixel and Quiel are P25,000 and P37,500 respectively.
25) The share of Pixel in the P25,500 net income would be:
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