Naomi and Melanie form an LLC.They contribute equal amounts as capital.However,when the LLC makes $100,000 in profits,Naomi receives $25,000 and Melanie receives $75,000.When the company incurs a loss of $20,000 the next year,they share the losses equally.Under what circumstances can such inequitable distribution of the profits and losses be made?

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The Answer of Naomi and Melanie form an LLC.They contribute equal amounts as capital.However,when the LLC makes $100,000 in profits,Naomi receives $25,000 and Melanie receives $75,000.When the company incurs a loss of $20,000 the next year,they share the losses equally.Under what circumstances can such inequitable distribution of the profits and losses be made?

Naomi and Melanie Form an LLC