Faith, Hope and Charity are partners sharing residual profits in the ratio 3:2:1. The partnership agreement...
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Faith, Hope and Charity are partners sharing residual profits in the ratio 3:2:1. The partnership agreement provides for interest on capital at the rate of 8% per annum and for a salary for Hope of $8,000 per annum. Net profit for 20X5 was $84,000 and the balances on partners' capital accounts during the year were: Faith $20,000; Hope $15,000; Charity $12,000. Faith, Hope and Charity are partners sharing residual profits in the ratio 3:2:1. The partnership agreement provides for interest on capital at the rate of 8% per annum and for a salary for Hope of $8,000 per annum. Net profit for 20X5 was $84,000 and the balances on partners' capital accounts during the year were: Faith $20,000; Hope $15,000; Charity $12,000.
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Related Book For
Intermediate Accounting
ISBN: 978-0078025839
9th edition
Authors: J. David Spiceland, James Sepe , Mark Nelson , Wayne Thomas
Posted Date:
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