The partnership agreement of X and Y stated that interest on capital should be calculated at the rate of 10% per annum.
At the beginning of the year on 1 January, the balances on X’s accounts were: capital $50000, current $2000 debit.
On 1 July, X contributed additional capital of $20000.
On 31 December, the balance on X’s current account was $20500 credit. He had made no drawings.
What was X’s share of the residual profit for the year?
1 )
$12500
2 )
$15500
$16500
4 )
$17500
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