Answered step by step
Verified Expert Solution
Question
1 Approved Answer
49: Rian, Lance, Weng and Sidd own a publishing company that they operate as a partnership. Their agreement includes the following: Rian will receive a
49: Rian, Lance, Weng and Sidd own a publishing company that they operate as a partnership. Their agreement includes the following: Rian will receive a salary of P20,000 and a bonus of 3% of income after all the bonuses Lance will receive a salary of P10,000 and a bonus of 2% of income after all the bonuses All the partners are to receive the following: Rian - P5,000; Lance P4,500; Weng - P2,000; and Sidd - P4,700, representing 10% interest on their average capital balances. Any remaining profits are to be divided equally among the partners Partnership reports a profit of P40,000 How much is Lance's share in the profit if profit is distributed in the following order of priority: Interest on invested capital, then bonuses, then salary, and then according to profit and loss percentage? a. P12,560 b. P13,235.75 c. P12,433 d. P12,830.75
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started