NAME:SCORE:SECTION:PROFESSOR:Problem #4tinc and Galang divide partnership profits and losses solely on the basis of theirrage capital balances. Ables had P275,000 invested during all of 2018; Galang had0200.000 invested from January 1 to August 31, and he invested another P75,000 onSentember 1. If profit was P800,000 during 2018, how much should each partnerreceive?ionc and Fingncial Reportin

First we need to find the effective capital for each partner. Effective capital = capital…

Problem #4 Distribution of Profits or Losses Based on Partners' Agreement Ables and Galang divide partnership profits and losses solely on the basis of their average capital balances. Ables had P275,000 invested during all of 2018; Galang had 2200.000 invested from January 1 to August 31, and he invested another P75,000 on Sentember 1. If profit was P800,000 during 2018, how much should each partner receive?

Problem #4 Distribution of Profits or Losses Based on Partners' Agreement Ables and Galang divide partnership profits and losses solely on the basis of their average capital balances. Ables had P275,000 invested during all of 2018; Galang had 2200.000 invested from January 1 to August 31, and he invested another P75,000 on Sentember 1. If profit was P800,000 during 2018, how much should each partner receive?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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