Bender and Henderson Consultants share the net income of their partnership in the following manner: - Salaries are $30,000 each. - Interest on beginning capital is 9 percent. Bender's capital is $100,000 and Henderson's is $200,000. - The remaining net income or net loss after salaries and interest are paid is shared equally. Assume the net income for this year is $275,000. Calculate the amount of net income that will be distributed to each partner. You DO NOT have to complete a formal statement.
Bender and Henderson Consultants share the net income of their partnership in the following manner: - Salaries are $30,000 each. - Interest on beginning capital is 9 percent. Bender's capital is $100,000 and Henderson's is $200,000. - The remaining net income or net loss after salaries and interest are paid is shared equally. Assume the net income for this year is $275,000. Calculate the amount of net income that will be distributed to each partner. You DO NOT have to complete a formal statement.
Chapter14: Choice Of Business Entity—operations And Distributions
Section: Chapter Questions
Problem 20P
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Can you help me calculate the amount of net income distributed to each partner asap for my homework
Transcribed Image Text:Bender and Henderson Consultants share the net income of their partnership in the following manner:
- Salaries are $30,000 each.
- Interest on beginning capital is 9 percent. Bender's capital is $100,000 and Henderson's is $200,000.
- The remaining net income or net loss after salaries and interest are paid is shared equally.
Assume the net income for this year is $275,000. Calculate the amount of net income that will be distributed to
each partner. You DO NOT have to complete a formal statement.
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