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Question 1: March 31, 2019, Bert, Ben and Bello formed a partnership in a sports equipment store with capital investment of P300,000, P150,000 and P200,000, respectively. Partnership profit distribution agreement provides for the following: monthly salary of P15,000 to Ben who is the managing partner, 12% of capital contribution for all partners and the remaining profit to be allocated equally. For Ben to receive an annual profit share of P220,000, how much should the company earn?
Question 2: Barrot and Bañaga are partners with capital balances of P400,000 and P260,000 respectively. They share profit and losses of 60% for Barrot and 40% for Bañaga. Bartolay was admitted in the partnership by investing sufficient amount for a ¼ interest which includes P18,000 bonus given by the old partners upon admission. At the date of admission, the assets of the partnership are fairly valued. What is the amount of investment made by Bartolay?
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