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Please explain where the numbers I highlighted came from and the computations that were done to arrive at these numbers. The WOW partnership agreement stipulates
Please explain where the numbers I highlighted came from and the computations that were done to arrive at these numbers.
The WOW partnership agreement stipulates a salary, interest on beginning capital, and profit & loss ratios as follows: Salary Interest P/L Ratio Beg. Capital Wendy $10,000 20% $30,000 Amanda 20,000 10% 30% 20,000 Winona -0- 20% 50% 40,000 10% Make a schedule, labels in the left column, to show net income of $40,000 shared among the 3 partners. Wendy Amanda Winona $40,000 Salary 10,000 29,00 30,oo 1. Inhast 3,000 2,000 Guwa 13,nou P/ 2e to (600) I (900) (1500) (3000) Totals 12,400 21,100 6,500 $40,000Step by Step Solution
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