Dividing Partnership Net Income Required: Steve Jack and Chelsy Bernard formed a partnership, dividing income as follows: 1. Annual salary allowance to Bernard of $89,100. 2. Interest of 5% on each partner's capital balance on January 1. 3. Any remaining net income divided to Jack and Bernard, 1:2. Jack and Bernard had $48,000 and $81,000, respectively, in their January 1 capital balances. Net income for the year was $162,000. How much is distributed to Jack and Bernard? Note: Compute partnership share. Jack: $ Bernard: $

Dividing Partnership Net Income Required: Steve Jack and Chelsy Bernard formed a partnership, dividing income as follows: 1. Annual salary allowance to Bernard of $89,100. 2. Interest of 5% on each partner's capital balance on January 1. 3. Any remaining net income divided to Jack and Bernard, 1:2. Jack and Bernard had $48,000 and $81,000, respectively, in their January 1 capital balances. Net income for the year was $162,000. How much is distributed to Jack and Bernard? Note: Compute partnership share. Jack: $ Bernard: $

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter19: Accounting For Partnerships

Section: Chapter Questions

Problem 3SEB

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