10 A and B are partners in a firm sharing profits in the ratio of
3:2. Their capitals as on April, 1 2014 were 7,00,000/- and
14 1,80,000/- respectively. On October 1, 2014. A introduced an
wance additional capital of 50,000 and on January 1, 2015, B introduced
entitled 70,000/-. Interest on capital is allowed at 10% pa. Calculate
as pe interest on capital for both the partners for the year ending March
31, 2015
2
Answers
Answer:
ANSWER
Profit And Loss Account
Particulars Amount Particulars Amount
To Manager;s
commission
(15000*5/100) 750 By profit before B's Salary
(12500+2500) 15000
To Net profit T/f to
P/L Appropriation
Account 14250
Total 15000 Total 15000
Profit And Loss Appropriation Account
Particulars Amount Particulars Amount
To Interest on capital
A = 50000*6% = 3000
B=30000*6% = 1800 4800 By net profit 14250
B's Salary 2500
To profit T/f to
A's Capital A/c = 4170
B's Capital A/c = 2780 6950
Total 14250 Total 14250
Partners capital account
Particulars A B Particulars A B
By bal b/d 50000 30000
By Int on capital 3000 1800
salary 2500
To bal c/d 57170 37080 By P/L Appr A/c 4170 2780
Total 57170 37080 Total 57170 37080