The MillStone Partnership reported profit of $60,000 for the year ended February 29, 2024. Salary allowances are
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The MillStone Partnership reported profit of $60,000 for the year ended February 29, 2024. Salary allowances are $45,000 for H. Mills and $25,000 for S. Stone. Interest allowances of 5% are calculated on each partner’s opening capital account balance. Capital account balances at March 1, 2023, were as follows: H. Mills $72,000 (Cr.) and S. Stone $47,000 (Cr.). Any remainder is shared equally. Calculate the division of profit to each partner.
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Related Book For
Accounting Principles Volume 2
ISBN: 9781119786634
9th Canadian Edition
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak
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