Practice Management Practice Exam

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Ryan Oldach

June 26, 2022 15:29

In the example question below (from the ARE practice exam), why is the Employee Salary line item included in the calculation if the question says "excluding the salaries and expenses"? The verbiage seems to contradict itself:

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  Valerie Galchenko June 26, 2022 16:03

  Partners in a partnership are considered self-employed, not employees. 

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  Yonatan Nigen January 08, 2023 19:45 (Edited January 08, 2023 19:46)

  Although it says "Two Recently Registered Architects decide to start a firm together", it does not mean that they do not have any employees.

  The question states:

  Excluding the salaries and expenses of the TWO PARTNERS, not of the EMPLOYEES. The wording of the question plays a dirty little trick on us.

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