3.4 Vir and Housen are partners sharing profits in the ratio of 3:2. As per their agreement, each partner is allowed to withdraw P 30,000 annually. Both partners withdrew this amount during 200C.The net profit in 200C was P 120,000. REQUIRED: Show how the net profit will be divided if the withdrawals are considered as: a. Partners' drawings b. Partners' salaries
3.4 Vir and Housen are partners sharing profits in the ratio of 3:2. As per their agreement, each partner is allowed to withdraw P 30,000 annually. Both partners withdrew this amount during 200C.The net profit in 200C was P 120,000. REQUIRED: Show how the net profit will be divided if the withdrawals are considered as: a. Partners' drawings b. Partners' salaries
Chapter15: Partnership Accounting
Section: Chapter Questions
Problem 1PA: The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after...
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