I. Identification.

$1.$ If the articles of co$-$partnership provides only an agreement as to division of profit but none as to losses, the latter shall be divided according to

$2.$ An industrial partner share in $$ but not in

$3.$

$4.$

$5.$

$$

$$

$q,$

$$ account is used to represent the results of business operations. The debit balance in Income Summary reflects a $$ while a credit balance in Income Summary reflects, $$

$6.$

$7.$

$8.$

$q,9.$ The ratio in which partners divide their net profit or net loss is called $q,$

$$ reflects the changes in partners' equity during the accounting period.

$q,10.$ Payments to partners in the form of salaries or interest are not considered expenses of the partners but are rather ways of $$

II$.$

The partnership agreement of Elidoro and Evangeline states that profits and losses will be divided as follows:

Salaries of $P50,000$ each

Interest at $10\%$ on Capital Balance

Remainder to be shared equally

The capital balance of Elidoro is P$70,000$ and Evangeline P$85,000.$ Determine the share of each partner under the following assumptions:

the profit is $P100,000$

the profit is P$142,750$