Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Beverly and Rochelle are partners in the accounting firm. Their capital account balances were: Beverly, P290,000; and Rochelle, P210,000. They share profits and losses in

Beverly and Rochelle are partners in the accounting firm. Their capital account balances were: Beverly, P290,000; and Rochelle, P210,000. They share profits and losses in a 3:2 ratio, after the following agreement: Interest of 10% on the partners capital balance; Annual salaries of P120,000 each to partners Partner Rochelle to receive a bonus of P50,000; Net income after tax of 30% for the year amounted to P364,000. How much was the share of Beverly in the partnerships net income?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions