C, D, and E are partners sharing profits equally after allowing for bonus and salary allowances. C, the managing partner, is allowed a bonus of 20% of the profit. D and E are allowed salaries of 120,000 and 150,000, respectively. The partnership registered a profit of 720,000 for the year 200C. 30. How much is the bonus of C if the bonus is based on the profit after bonus but before the salary allowance? а. 75,000 b. 90,000 с. 120,000 d. 144,000 31. How much is the share of C in the profit if the bonus is based on the profit before bonus but after salary allowance? а. 90,000 b. 210,000 с. 230,000 d. 240,000

C, D, and E are partners sharing profits equally after allowing for bonus and salary allowances. C, the managing partner, is allowed a bonus of 20% of the profit. D and E are allowed salaries of 120,000 and 150,000, respectively. The partnership registered a profit of 720,000 for the year 200C. 30. How much is the bonus of C if the bonus is based on the profit after bonus but before the salary allowance? а. 75,000 b. 90,000 с. 120,000 d. 144,000 31. How much is the share of C in the profit if the bonus is based on the profit before bonus but after salary allowance? а. 90,000 b. 210,000 с. 230,000 d. 240,000

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter10: Partnerships: Formation, Operation, And Basis

Section: Chapter Questions

Problem 7BCRQ

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