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Phoenix [80]
3 years ago
13

Gillie, Norma and Nancy are all partners in an architectural firm. They have no partnership agreement. Gillie contributed $120,0

00 to the firm and Norma and Nancy contributed $60,000 each. Norma works full-time in the partnership and Gillie and Nancy each work part-time. The partnership makes $120,000 in profits. How will the profits be divided among the partners
Business
1 answer:
Ivanshal [37]3 years ago
6 0

Answer:

Gillie: $40,000

Norma $40,000

Nancy: $40,000

Explanation:

Calculation for How will the profits be divided among the partners

Based on the information given the profit will be divided equally among the three of them.

Gillie profit=$120,000/3

Gillie profit=$40,000

Norma profit =$120,000/3

Norma profit =$40,000

Nancy profit=$120,000/3

Nancy profit=$40,000

Therefore How will the profits be divided among the partners is :Gillie: $40,000

Norma $40,000

Nancy: $40,000

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Answer:

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Explanation:

Data provided in the question:

Year              Annual dividend paid

   1                                      $1.20

   2                                      $1.12

   3                                      $1.12

   4                                      $14.20

Now,

Year       Annual dividend paid        Present value factor     Present value

   1                              $1.20                          0.84246               1.011

   2                             $1.12                          0.84246               0.7949

   3                             $1.12                          0.59793             0.6696

   4                             $14.20                       0.50373             7.1529

===============================================================

Worth of stock = 1.011 + 0.7949 + 0.6696 + 7.1529

= $9.6284 ≈ $9.63

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Present value factor = [ 1 ÷ (1 + 0.187)ⁿ]

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