Deacon, Raines, and Francis arranged to import and sell orchid corsages for a university dance. They agreed

Question:

Deacon, Raines, and Francis arranged to import and sell orchid corsages for a university dance. They agreed to share equally the net income or net loss of the venture. Deacon and Raines advanced $300 and $450 of their own respective funds to pay for advertising and other expenses. After collecting for all sales and paying creditors, the has $1,800 in cash.
a. How should the money be distributed?
b. Assuming that the has only $600 instead of $1,800, do any of the three partners have a capital deficiency? If so, how much?

Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...