Question

Illustration 30 :
A, B and C were partners. Their capitals were 30,000; 20,000 and 310,000 respectively.
According to the partnership deed they were entitled to an interest on capital at 5% p.a. In addition
B was also entitled to draw a salary of 500 per month. C was entitled to a commission of 5% on
the profits after charging the interest on capital but before charging the salary payable to B. The net
profits for the year were 30,000, distributed in the ratio of their capitals without providing for any
of the above adjustments. The profits were to be shared in the ratio of 2 : 2:1. Pass the necessary
adjustment entry showing the working clearly.​

Answer 1

Answer:

I think its 12 class question