Amy and Emma have been in partnership for a number of years, investing capital of £156,000 and £50,000 respectively. Details of the appropriation of partnership profits are as follows: Annual salary Share of residual profit Interest on capital Amy £65,000 35% 10% Emma £35,000 £155,735 £154,235 £120,735 None of these answers! 65% 5% If the profit for the year before appropriation was £300,000, what would Emma's entitlement in total be?

Amy and Emma have been in partnership for a number of years, investing capital of £156,000 and £50,000 respectively. Details of the appropriation of partnership profits are as follows: Annual salary Share of residual profit Interest on capital Amy £65,000 35% 10% Emma £35,000 £155,735 £154,235 £120,735 None of these answers! 65% 5% If the profit for the year before appropriation was £300,000, what would Emma's entitlement in total be?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

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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