Problem #5

Distribution of Profits or Losses Based on Partners’ Agreement

Abad, Aglugub, and Onate agreed to share profits and losses according to the ratio of their respective investments at the
beginning of the year of P300000, P250000, and P450000. Calculate the share of each partner under the following
conditions: (a) P270000 profit; (b) P240000

a.        
Aglugu
  Abad b Onate Total
conribution 100000
s 300000 250000 450000 0
- - -
remainder 219000 182500 328500 -730000
profit
sharing 81000 67500 121500 270000

b.        
Aglugu
  Abad b Onate Total
conribution 100000
s 300000 250000 450000 0
-
- - - 124000
remainder 372000 310000 558000 0
profit -
sharing -72000 -60000 108000 -240000