Question

allow interest on capital 10%

Answer 1

If the  Capital Accounts  is Fixed :

Interest on Capital A/C  Dr   Rs.xxx

      To Current A/C   Rs.xxx

(being interest on capital charged @10 %)

If the capital accounts are fluctuating :

Interest On Capital A/C  Dr   Rs.xxx

    To Capital A/C  Rs.xxx

(Being interest on capital charged @ 10%)