Question

A and B are partners sharing profits in the ratio of 1:1 having fixed capital of Rs.2,00,000 and Rs. 100,000 respectively.After closing the accounts for the year ending 31st march,2020,it was discovered that interest on capitals@8%p.a. was ommitted to be provided.Adjustment Entry will be?

Answer 1

Answer:

B's Current a/c. Dr ₹4,000

To A's Current a/c. ₹4,000

(Being adjustment entry passed through partners current a/c)

Explanation:

Kindly check the attachment for the working.

I hope it helps :)