Question

A,B and C are entered into partnership on 1st april,2009 to share profit and losses in the ratio of 4:3:3.A,however,personally guaranteed that C's share of profit after charging interest on capital@ 5% P.A. would not be less than RS.40000 in any year.capitals we're as follows.A rs.300000,B RS.200000,C RS.150000.profit for the year ended on 31st March 2010 amounted to RS.160000.sacrifice made by A for C will be?​

Answer 1

Answer:

capitals of A. B. C

300000. 200000 150000

interest on capitals

A. 300000*5%=15000

B. 200000*5%=10000

C. 150000*5%=7500

=32500

profit -interest on capitals

160000-32500=127500

distribution of profit

A. 127500*4/10=51000

B. 127500*3/10=38250

C. 127500*3/10=38250

guaranteed profit -actual profit

40000-38250=1750

scarifice ratio of A

1750*4/7=1000

of B=1750*3/7=750