Question

Partners Capital Accounts
4. Seal and Kajal are partners sharing profits and losses in the ratio of 2:1. On 1st April 2015
were: Sajal 55.00.000 and Kajal4,00.000.
Prepare Profit and Loss Appropriation Account and the Partners Capital Accounts at the end
from the following information
la) Interest on Capital is to be allowed @ 5% p.a.
(b) Interest on the loan advanced by Kajal for the whole year, the amount of loan being
(0) Interest on partners' drawings @ 6% pa. Drawings: Sajal 1,00,000 and Kajal 80,000
(d) 10% of the divisible profit is to be transferred to General Reserve.
Profit before giving effect to the above, for the year ended 31st March, 2020 is 77,02,600
Note: Net profit means net profit after debit of interest on loan by the partner.​

Answer 1

Answer:

5.9 percent with profit of 30000