Item No. 16 is based on the following information: the Partners Dy, Pai, and Kwa are in the process of finalizing their profit and loss sharing agreement. They have already agreed that Pai and Kwa are to receive annual salary of P 45,000 each. Dy, the managing partner, has two options. Option 1: He will receive an annual salary of P 110,000; or Option 2: He will receive an annual salary of P 90,000 plus a bonus of 20% of the de profit after subtracting their salaries and his bonus. augA no 16. What should be the amount of profit so that Dy would get the same share irrespective of his choice? 000,00 a. P 250,000. P 400,000. iwolfo С. b. P 300,000. d. P 450,000.
Item No. 16 is based on the following information: the Partners Dy, Pai, and Kwa are in the process of finalizing their profit and loss sharing agreement. They have already agreed that Pai and Kwa are to receive annual salary of P 45,000 each. Dy, the managing partner, has two options. Option 1: He will receive an annual salary of P 110,000; or Option 2: He will receive an annual salary of P 90,000 plus a bonus of 20% of the de profit after subtracting their salaries and his bonus. augA no 16. What should be the amount of profit so that Dy would get the same share irrespective of his choice? 000,00 a. P 250,000. P 400,000. iwolfo С. b. P 300,000. d. P 450,000.
Chapter11: Partnerships: Distributions, Transfer Of Interests, And Terminations
Section: Chapter Questions
Problem 18CE
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