During the year, the ABC partnership’s operations generated a loss. The partnership agreement provides for the following P/L sharing provisions:   ·       Interest of P2,000, P3,000, and P5,000 to partners A, B, and C, respectively   ·       Salary of P15,000 to partner A   ·       Any remainder is allocated equally.   If the share of partner A in the loss is P8,000, how much is the net loss for the period?

Income Tax Fundamentals 2020
38th Edition
ISBN:9780357391129
Author:WHITTENBURG
Publisher:WHITTENBURG
Chapter10: Partnership Taxation
Section: Chapter Questions
Problem 18MCQ
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During the year, the ABC partnership’s operations generated a loss. The partnership agreement provides for the following P/L sharing provisions:

 

·       Interest of P2,000, P3,000, and P5,000 to partners A, B, and C, respectively

 

·       Salary of P15,000 to partner A

 

·       Any remainder is allocated equally.

 

If the share of partner A in the loss is P8,000, how much is the net loss for the period?

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