Question

A andB are
partners in a firm sharing profit and loss in ratio 7 is to 3 with capital of I like and rupees 3 lacs as per partnership deed interest on capital is allowed at partner at 6% per annum distributor profit in following condition if firm under profit of 70000 ​

Answer 1

Answer:

Journal Entries

Case 1- Profit and Loss A/c Dr. 20,000

To Profit and Loss Appropriation A/c 20,000

(Being profit transferred to p &L app Account)

Profit and loss Appropriation A/c Dr 20,000

To X's capital A/c 8000

To Y's capital A/c 12,000

(Being profit distributed among partners)

Answer 2

Explanation:

A's profit will be equally distributed with half thz profit of B.

A"s profit =6/100*70000 =₹32000

B"s profit =₹16000

Hope it helps

Plz mark as Brainliest and follow me