Beau, Cole, & Drake formed partnership. Beau invested$15000, Cole $20000, & Drak

Question

Beau, Cole, & Drake formed partnership. Beau invested$15000, Cole $20000, & Drake $25000. Beau manage store, colework in store half time, Drake will not work in business. Compute partners shares of profits & losses under thefollowing plans: Net loss is $50,000, and partnership agreementallocates 40% of profits to Beau, 25% to cole, and 35% to Drake.The agreement doesn't specify the sharing of losses. Complete following table (uses parentheses or minus sign fornet loss amounts. Thanks please help. I will rate6pts. Promise

Explanation / Answer

Ifagreement doesn't specify the sharing of losses then the lossesshould be beared by all partners EQUALLY(1:1:1) Beau Cole Duke Total Total netloss $50,000 Allocation topartners Beau  ($50,000 *1/3) ($16,667) Cole    ($50,000*1/3) ($16,667) Duke  ($50,000*1/3) ($16,666) Total (B+C+D) ($50,000) Net loss topartners ($16,667) ($16,667) ($16,666) ($50,000)

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