GCECommerceBusiness Organisations2024

Eze, Bello, and Chukwu formed a partnership and contributed capitals of ₦120,000, ₦80,000, and ₦60,000 respectively. If the partnership deed is silent on profit sharing, how much of a ₦78,000 profit will Bello receive?

A₦24,000
B₦26,000CORRECT
C₦30,000
D₦39,000
AI
Toaster Teacher
Why the answer is B, and why the others tempt you.
When a partnership deed is silent on profit sharing, the Partnership Act requires profits to be shared equally among partners regardless of capital contribution. With three partners, each receives ₦78,000 ÷ 3 = ₦26,000. Capital ratios are irrelevant here because the deed is silent.
Want this in Pidgin, Yoruba, Igbo or Hausa? Sign up free →

Practice more Commerce questions

GCE Commerce has thousands more questions like this — with Worked answers on every one.