Pand Q are partners with capital of Rs.300000 and 200000 respectively. If firm earn a profit of RS. 25000 for the year ended 31st March 2019, the interest on capital @ 10% per annum would be : (a) 30000 and 20000 (b) 15000 and 10000 (c) 12500 each (d)None of these.
Answers
Answered by
5
Answer:
option b
Explanation:
A= 3,00,000 X 10/100 = 30,000
B= 2,00,000 X 10/100 = 20,000
New ratio
30,000 : 20,000
3:2
Distribute the profit in new ratio
25,000 X 3/5 =15,000
25,000X2/5=10,000
Answered by
1
Answer:
(A)
Intrest on P's capital = 30,000
Intrest on Q's capital = 20,000
Explanation:
Calculation of intrest on capital
Rate = 10%
P's capital = 3,00,000
Q's capital = 2,00,000
Intrest on P's capital = 3,00,000 × 10% = 30,000
Intrest on Q's capital = 2,00,000 × 10% = 20,000
Calculation of p&l appropriation loss
30,000+20,000-25,000 = 25,000
P's capital a/c dr 12,500
Q's capital a/c dr 12,500
To p&l app a/c 25,000
(transfer of loss to partners
capital a/c)
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