Sign In Sign Up Ask an AI advisor
aletadaboss
aletadaboss
04.04.2021 • 
Business

Harry and Hanson were partners in a firm sharing profits and losses in the ratio 3:2. Their capital was $300,000 and $150,000 respectively and they were entitled to interest on capital of 25% per annum. At the end of the firm’s financial year December 31, 2019, the firm earned profit of $180,000 after allowing for interest on capital. Given this information, the profits that will be distributed among the partners will be: Select one:
a. Harry - $45,000; Hanson - $22,500
b. Harry - $40,500; Hanson - $27,000
c. Harry - $120,000; Hanson - $60,000
d. Harry - $108,000; Hanson - $72,000

Solved
Show answers

Ask an AI advisor a question

I want advice