18. Amar and Bimal entered into partnership on 1st April, 2016 contributing 1,50,000 and 2,50,000
respectvely towards capital. The Partnership Deed provided for interest on capital @ 10% p.a. It also
provided that Capital Accounts shall be maintained following Fixed Capital Accounts method. The firm
earned net profit of ? 1,00,000 for the year ended 31st March, 2017.
Pass the Journal entry for interest on capital. Ans.: Dr. Profit and Loss Appropriation A/c by 40,000;
Amar's Current Alchy 715 000 and Rimal's Current A/s by 325,000.
Answers
Answered by
5
Hello! i have attached the solution
Attachments:
![](https://hi-static.z-dn.net/files/d24/bb62ac5b5b31f4d60e4b19950eb92156.jpg)
Similar questions
Math,
4 months ago
Math,
4 months ago
History,
9 months ago
Social Sciences,
9 months ago
Science,
1 year ago