26. Red and White formed a partnership in 2016. The partnership agreement provides for annual salary allowances ofP55,000 for Red and P45,000 for White. The partners share profits equally and losses...

no.26

Extracted text: 26. Red and White formed a partnership in 2016. The partnership agreement provides for annual salary allowances ofP55,000 for Red and P45,000 for White. The partners share profits equally and losses in a 60/40 ratio. The partnership had earnings of P80,000 for 2016 before any allowance to partners. What amount of these earnings should be credited to Red and white respectively? * 43,000 37,000 40,000 40,000 45,000 35,000 O 44,000 36,000