Question

1. Ankit Bhanu and Charu are partners in a firm sharing profits and losses equally with capital of 2,50,000
each. On 1st October, 2019, Ankit and Bhanu gave loans of 2,50,000 each to the firm whereas Charu took
a loan of 1,00,000 from the firm on the same date. It was agreed among the partners that Charu will be
charged Interest @ 6% p.a. Interest on loan from partners was paid on 10th April, 2020. The firm closes its
books on 31st March each year.
Pass the Journal entries in the books of the firm for the year ended 31st March, 2020.
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Answer 1

Answer:

Explanation:

Calculation  of interest on Drawing of each patner

Interest thereon has been calculated for the average

Bhanu = 250000 × 6 % ×  6 /12 = 7500

Charu = 1,00,000 × 6% × 6 /12 = 3000

Calculation on interest on Capital of each patner

Bhanu = 250,000 × 6 % =15000

Charu = 250,000 × 6 % =15000