At December 31, 200A, the partnerships income statement showed net income amounting to

P 420, 000, net of applicable income tax of 30%. During the period, the partners capital
accounts showed the following transactions:

David Goliath Saul

June 30 50, 000
July 1 100, 000 100, 000
September 1 (50, 000) 50, 000
September 30 200, 000
October 31 150, 000

Required: Show the distribution of the partnerships net income based on the following
independent assumptions:

1. Equally
2. Beginning Capital
3. Ending Capital
4. Average Capital
5. Interest on average capital, 12% per annum; balance, based on ending capital.
6. Salaries of P 10, 000 per month to David; balance, based on average capital.
7. Interest on average capital, 12% per annum; annual salaries of P 60, 000 to David;
balance on average capital.
8. Bonus of 10% before income tax to David; balance, based on average capital.
9. Bonus of 10% before income tax but after bonus to David; salaries of P 5, 000 per month
to David; 6% annual interest on beginning capital; balance, based on ending capital.
10.Bonus of 10% after bonus and income tax to David; salaries of P 5, 000 per month to
David; 6% annual interest on average capital; balance, based on average capital.