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Jefferson Has a Capital Balance of $65,000 and Devotes Full

Question 63

Multiple Choice

Jefferson has a capital balance of $65,000 and devotes full time to a partnership. Washington has a capital balance of $45,000 and devotes half time to the partnership. If no other information is available regarding distributions, in what ratio is net income to be divided?


A) 6.5:4.5
B) 1:1
C) 4.5:6.5
D) 1:2

Correct Answer:

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