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Burns and Smithers open a consulting business and set out the following provisions for dividing profits and losses: Burns' salary will be $40 000 and Smithers' salary will be $30 000. They will receive 10% interest on their Capital account balances of $80 000 (Burns) and $60 000 (Smithers). Any remainder is to be divided equally.
Problem 1: Calculate the amount that each partner will receive in each of the following situations:
a) Net Income of $136 000.b) Net Income of $77 000.c) Net Loss of $15 000.
Financial Statement Analysis and Preparation
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This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited
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T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .
Computation of Free Cash Flow
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