Use the following information to answer the given question, Aba and Baba are partners who agreed to share profits and losses in the ratio 4 : 3 respectively. Extracts from their books for the year ended 31/12/08 are:
(begin{array}{c|c} & text{ABA} & text{BABA} & text{TOTAL}\ & ₦ & ₦ & ₦ \ hline text{Capital} & 20,000 & 15,000 & 35,000 \ text{Drawings} & 2,520 & – & 2,520 \ text{Interest on drawings} & 504 & – & 504\ text{Interest on capital} & 2,000 & 1,500 & 3,500 \ text{Net profit 31/12/08} & – & – & 34,636end{array})
Aba’s share of profit is
(begin{array}{c|c} & text{ABA} & text{BABA} & text{TOTAL}\ & ₦ & ₦ & ₦ \ hline text{Capital} & 20,000 & 15,000 & 35,000 \ text{Drawings} & 2,520 & – & 2,520 \ text{Interest on drawings} & 504 & – & 504\ text{Interest on capital} & 2,000 & 1,500 & 3,500 \ text{Net profit 31/12/08} & – & – & 34,636end{array})
Aba’s share of profit is
-
A.
₦21,504 -
B.
₦19,792 -
C.
₦18,352 -
D.
₦16,128