P, Q and R were partners with fixed capital of ₹40,000, ₹32,000 and ₹24,000. After distributing the profit of ₹48,000 for the year ended 31st March 2022 in their agreed ratio of 3 : 1 : 1, it was observed that: (1) Interest on capital was provided at 10% p.a. instead of 8% p.a. (2) … Read more
Ananya, Bhavi and Chandni were partners in a firm with capitals of ₹3,00,000, ₹2,00,000 and ₹1,00,000 respectively. According to the provisions of the partnership deed: (i) Ananya and Chandni were each entitled to a monthly salary of ₹1,500. (ii) Bhavi was entitled to a salary of ₹4,000 per annum. The profit for the year ended … Read more
Raman, Manan and Naman were partners sharing profit in the ratio of 2 : 1 : 1. Raman withdrew ₹3,000 every month and Manan withdrew ₹4,000 every month. Interest on drawings @ 6% p.a. was charged whereas the partnership deed was silent about interest on drawings. Showing your working clearly, pass the necessary adjustment entry … Read more
P, Q and R were partners in a firm sharing profits and losses in the ratio of 5:3:2. The partnership deed provides for charging interest on drawings @ 10% p.a. The drawings of P, Q and R during the year ending 31st March, 2020 amounted to ₹20,000, ₹30,000 and ₹50,000 respectively. After the final accounts … Read more
Rohit, Raman and Raina are partners in a firm. Their capital accounts on 1st April, 2019, stood at ₹2,00,000, ₹1,20,000 and ₹1,60,000 respectively. Each partner withdrew ₹15,000 during the financial year 2019-20. As per the provisions of their partnership deed: (a) Interest on capital was to be allowed @ 5% per annum. (b) Interest on … Read more
On 31st March, 2019, the balance in the capital accounts of Asha, Nisha and Disha after making adjustments for profits and drawings were ₹1,50,000, ₹1,20,000 and ₹90,000 respectively. Subsequently, it was discovered that interest on capital and interest on drawings had been omitted. The partners were entitled to interest on capital @ 10% p.a. Interest … Read more
Cheese and Slice are equal partners. Their capitals as on April 01, 2022 were ₹50,000 and ₹1,00,000 respectively. After the accounts for the financial year ending March 31, 2023 have been prepared, it is observed that interest on capital @ 6% per annum and salary to Cheese @ ₹5,000 per annum, as provided in the … Read more
Akhil and Nikhil were partners sharing profits and losses in the ratio of 3:2. Their fixed capitals were ₹1,00,000 and ₹80,000 respectively. Interest on capital was agreed @ 6% p.a. Nikhil was to be allowed an annual salary of ₹9,200. During the year 2021-22, the net profit prior to the calculation of interest on capital … Read more
A, B and C were partners in a firm sharing profits and losses equally. Their respective capitals were ₹10,00,000, ₹9,00,000 and ₹8,00,000. The partnership deed provided for the following: (1) Interest on capital @ 9% per annum. (2) Interest on drawings @ 12% per annum. (3) Interest on partner’s loan to the firm @ 10% … Read more
Arun and Barun were partners sharing profits in the ratio of 3 : 2. Their capitals were ₹50,000 and ₹30,000 respectively. Partnership deed provided for interest on capital @ 6% p.a. to Arun and Barun and quarterly salary of ₹1,000 to Barun. Arun had given a loan of ₹1,00,000 on 1st October, 2021 to the … Read more