A and B contribute 400000 and 300000 respectively as their capitals. They decided to allow interest on capital @ 8% p.a. Their respective share of profits 3:2 and the profit for the year Rs42000 before allowing for interest on capitals.show the distribution of profit . 1)where there is no agreement except for interest on capital 2.where there is a clear agreement that the interest on capital will be allowed even if the firm In loss
Answers
Explanation:
A and B contribute 400000 and 300000 respectively as their capitals. They decided to allow interest on capital @ 8% p.a. Their respective share of profits 3:2 and the profit for the year Rs42000 before allowing for interest on capitals.show the distribution of profit . 1)where there is no agreement except for interest on capital 2.where there is a clear agreement that the interest on capital will be allowed even if the firm In loss
Explanation:
A and B contribute 400000 and 300000 respectively as their capitals. They decided to allow interest on capital @ 8% p.a. Their respective share of profits 3:2 and the profit for the year Rs42000 before allowing for interest on capitals.show the distribution of profit . 1)where there is no agreement except for interest on capital 2.where there is a clear agreement that the interest on capital will be allowed even if the firm In loss