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Distribution of Net Loss to partners Use the following information for the next 2 questions. ( Answers are given, I need proper accounting format solutions.
Distribution of Net Loss to partners
Use the following information for the next questions. Answers are given, I need proper accounting format solutions.
CARMELA & FERDINAND. Carmela and Ferdinand formed a partnership on January with initial investments of P and P respectively. The partnership reported a net loss of P The partnership agreement provides that profit or loss shall be distributed accordingly:
Monthly salary of P and P respectively for Carmela and Ferdinand,
interest on partners original capital.
bonus to Carmela based on net income before interest, and salary.
The remainder is shared in the ratio of : respectively.
Questions:
What is the share of Carmela in the net loss? Enter a positive amount if share is positive. Enter a negative amount if share is negative. Answer:
What is the share of Ferdinand in the net loss? Enter a positive amount if share is positive. Enter a negative amount if share is negative. Answer:
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