QUESTION 4 (25 MARKS) Osman and Razak are partners in a forwarding business since 2015. Both partners, who are Malaysian citizens and residents contributed RM 300.000 each as capital contribution to the partnership. The business closes its accounts on 31 December annually. On 1 August 2019, Razak left the partnership and transferred his ownership to Sabri, a Malaysian resident. Sabri contributed RM210,000 as his initial capital and since his admission to the partnership business, he is responsible in monitoring the daily operation of the business. The following are the terms of the partnership business throughout the year 2019. Osman Razak Sabri 50% 50 40% Profit-sharing ratio: Before 1 August 2019 From 1 August 2019 Salary per month Travelling allowance per month Interest on capital per annum 4,000 6,000 60% 5,000 200 10% 300 300 10% 10% The partnership's statement of profit or loss for the year ended 31 December 2019 is as follows: Sales 2,080,500 (-) Cost of Sales 500.500 Gross Profit 1,580,000 - Operating Expenses Partners' salary 118,000 Partners' travelling allowance 25,300 Partners' interest on capital 56,250 General expenses 115.250 Depreciation 120.000 (316,918) Net profit 1,263,082 Additional Informtion The capital allowance for the year of assessment 2019 was RM100,000. Required: a) Briefly explain to Osman, Razak and Sabri the factors need to be present before partnership exist. (5 Marks) b) Compute provisional adjusted income and divisible adjusted income for year assessment 2019 (13 Marks) c) Compute the total income for each partner for the year assessment 2019 (7 Marks)