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1. (20 pts) Shirly, Curley, and Burley are partners sharing profits and losses 40/40/20 respectively. Their capital balances are: Shirley 175,000 Curley 300,000 Burley 275,000

1. (20 pts) Shirly, Curley, and Burley are partners sharing profits and losses 40/40/20 respectively.
Their capital balances are:
Shirley 175,000
Curley 300,000
Burley 275,000
750,000

d. In the first year after Furley's entrance under the conditions outlined in 'c' above, an agreement was made
to share profits, whereby Burley gets a salary of $40,000, and each partner receives 10% interest on their
beginning capital balances with the remainder shared equally. Unfortunately, there was a loss of $200,000.
The agreement was silent on how to share losses.
Prepare a schedule showing how the loss will be shared.

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