The Partnership of Raymond,Chabot and Grant divides profits in the ratio of 4:5:3.There is no provision for dividing losses.During 2014,the business experienced a loss of $40,000.Chabot's share of the loss is:

Question

Quizplus · Accepted Answer

Total ratio = 4+5+3 = 12

Chabot's share of profit = 5/12
Chabot's share of loss = 5/12 * 40000 = 16667

Therefore, the answer is option D.

The Partnership of Raymond,Chabot and Grant Divides Profits in the Ratio