A and B are equal partners. They are both 22. B works 5 days a...
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Accounting
A and B are equal partners. They are both 22. B works 5 days a week in the business while A only works ok Saturdays. The income and expenses od the partnership are as follow
Income
Sales $230,000
Interest. $5,200
Expenses
Operating cost deductible under s8-1 $83,000
Staff salaries $50,000
Bs salary $53,000
As salary $8,000
Staff superannuation $4,500
Bs superannuation $12,000
As superannuation $450
Calculate the net income of the partnership, the partnership distribution of each partner and the taxable income of each partner
Assume further that B earned no income but A earned a salary of $56,000 from his full time job
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