The Mohamed & Ahmed Co. reports net sales $ 150,000, cost of goods sold $...
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Accounting
The Mohamed & Ahmed Co. reports net sales $ 150,000, cost of goods sold $ 50,000, selling and administrative expenses $ 37,000. Interest allowances are Mohamed $9,000 and Ahmed $6,000; partner salary allowances are Mohamed $30,000 and Ahmed $25,000 and the remainder is shared 6:4 respectively.
Instructions: Indicate the division of net income to each partner and prepare journal entry for net income/net loss division.
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