Xavier and Yolanda have original investments of $52,800 and $109,800, respectively, in a partnership. The articles of partnership include the following provisions regarding the division of net income: interest on original investment at 20%; salary allowances of $25,200 and $32,000, respectively; and the remainder to be divided equally. How much of the net income of $109,400 is allocated to Yolanda? a $21,960 b. $63,800 e $51,960 d $76,560
Xavier and Yolanda have original investments of $52,800 and $109,800, respectively, in a partnership. The articles of partnership include the following provisions regarding the division of net income: interest on original investment at 20%; salary allowances of $25,200 and $32,000, respectively; and the remainder to be divided equally. How much of the net income of $109,400 is allocated to Yolanda? a $21,960 b. $63,800 e $51,960 d $76,560
Chapter10: Partnerships: Formation, Operation, And Basis
Section: Chapter Questions
Problem 2BCRQ
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Xavier and Yolanda have original investments of $52,800 and $109,800, respectively, in a
Transcribed Image Text:Xavier and Yolanda have original investments of $52,800 and $109,800, respectively, in a partnership. The articles of partnership include the following
provisions regarding the division of net income: interest on original investment at 20%; salary allowances of $25,200 and $32,000, respectively; and the
remainder to be divided equally. How much of the net income of $109,400 is allocated to Yolanda?
Oa. $21,960
b. $63,800
c. $53,960
d $76,560
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