Reference no: EM132822389

Ferrer, Gleeann, and Hannah form a partnership and agree to maintain average investments of P2,500,000, P1,250,000 and P1,250,000, respectively. Interest on the excess or deficiency in a capital contribution is to be computed at 6% per annum. After the interest allowances, Ferrer, Gleeann, and Hannah are to share any balance in the ratio of 5:3:2. Average amounts invested during the first six months were as follows: Ferrer, P3,000,000; Gleeann, P1,375,000; and Hannah, P1,000,000. A loss from operations of P62,500 was incurred for the first six months.

Problem 1: How is this loss distributed among the partners Ferrer, Gleeann, and Hannah?

Option 1: P12,500; P10,000; P49,500

Option 2: P31,250; P18,750; P12,500

Option 3: P21,875; P18,375; P22,250

Option 4: P18,375; P21,875; P22,250