Question
Johny is planning to do a AAA business. He asks for additional capital amounting to 800,000 from his cousin, Aimi. Johny and Aimi are decided
Johny is planning to do a AAA business. He asks for additional capital amounting to 800,000 from his cousin, Aimi. Johny and Aimi are decided to distribute the profit or loss of the business 40:60 respectively.
i. After one year running the business, they made a profit of 300,000. How much the profit will Johny and Aimi get respectively?
ii. In early 2020, their business was affected due to the implementation of Movement Control Order (MCO) MCO by England government. Pursuant to this, the total loss amounting to 50,000 were recorded. Explain this situation.
iii. Instead of distributing the profit of the business based on the pre-agreed ratio, Aimi asks for a payment of 2000 per month as a return of the capital. What is your opinion about Aimi request?
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