Reference no: EM132722955
Question - What is the share in income for Tyler?
On January 1, 2011, Vallo, Tyler and Syria formed a joint operation for the sale of certain merchandise. Syria is to manage the joint operation. Vallo was to provide funds and Tyler was to supply merchandise to be sold by Syria. They agreed to divide profits and losses equally.
The joint operation transactions from January to February are as follows:
Jan 1: Tyler sent merchandise to Syria valued at P12,000. Freight of P500 paid by Syria.
Jan 7: Vallo sent Syria, P10,000 cash.
Jan 26: Syria purchased additional merchandise for cash worth P9,500.
Jan 31: Syria sold merchandise on account for P16,000.
Feb 20: Collection of account, P15,000.
Feb 27: Syria sold merchandise for cash, P9,000.
Feb 28: The joint operation was terminated and settlements to participants were made. Syria agreed to take the unsold merchandise at P3,000 and is to be charged for the uncollected accounts at face value. How much is the share in income for Tyler?
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