Losses are shared under the same ratio as profits, 40 Shirley 40 Curley 20 Burley. C is already answered.

1. (25 pts) Shirly, Curley, and Burley are partners sharing profits and losses 40/40/20 respectively. Their capital balances are: Shirley Curley Burley 175,000 300,000 275,000 750,000 c. Dr Assume instead, Furley puts into the partnership $350,000 of cash and is awarded a 40% interest. Record the entry of Furley using the goodwill method. Cr Cash 350,000 Goodwill 90,000 Furley Capital 440,000 d. In the first year after Furley's entrance under the conditions outlined in 'd' above, an agreement was made to share profits, whereby Burley gets a salary of $40,000, and each partner receives 10% interest on their beginning capital balances with the remainder shared equally. Unfortunately, there was a loss of $200,000. The agreement was silent on how to share losses. Prepare a schedule showing how the loss will be shared