5. Bhanu and Partap are partners sharings profits equally. Their fixed capitals as on 1st April, 2018 are
8,00,000 and * 10,00,000 respectively. Their drawings during the year were * 50,000 and 1,00,000
respectively. Interest on Capital is a charge and is to be allowed @ 10% p.a. and interest on drawings is to
be charged @ 15% p.a. Net Profit for the year ended 31st March, 2019 was 1,20,000.
Prepare Profit and Loss Appropriation Account.
(Ans.: Loss—*48,750; Dr. Bhanu's Current A/c and Partap's
Current Account by 24,375 each.]
Answers
Answer:it's bcz when nothing is said about the time period of of drawings, we assume them to be for 6 months
Explanation:
Profit and Loss Appropriation A/c
Explanation:
Profit and Loss Appropriation A/c
(year ending 31st March 2019)
Dr. Cr.
Particulars Amount Particulars amount
To Interest on By P&L A/c 1,20,000
Capital By interest on drawings
- Bhanu 80000 - Bhanu 7,500
- Pratap 10,000 - Pratap 15,000
By loss transferred to
- Bhanu's current A/C 18,750
- Pratap's current A/C 18,750
Learn more: current account
brainly.in/question/9941378