Question

Prepare Subscription Account only...​

Answer 1

Answer:

consider a set A={1,2,3,6} and let*be a binary operation on A defined by a*b=1cm.<br />1.Check whether * is commutati be and associative.<br />2.Find the identity element if exists.<br />3.wrtie another commutative binary operation on A with 2 as the identity elementX and Y entered into partnership on 1st April, 2017 and contributed ₹ 2,00,000 and ₹ 1,50,000 respectively as their capitals. On 1st October, 2017, X provided ₹ 50,000 as loan to the firm. As per the provisions of the partnership Deed:

(i) 20% of Profits before charging interest on Drawings but after making appropriations to be transferred to General Reserve.

(ii) Interest on capital at 12% p.a. and Interest on Drawings @ 10% p.a.

(iii) X to ger monthly salary of ₹ 5,000 and Y to get salary of ₹ 22,500 per quarter.

(iv) X is entitled to a commission of 5% on sales. Sales for the year were ₹ 3,50,000.

(v) Profit and Loss to be shared in the ratio of their capital contribution up to ₹ 1,75,000 and above ₹ 1,75,000 equally.

The profit for the year ended 31st March, 2018 before providing for any interest was ₹ 4,61,000. The drawings of X and Y were ₹ 1,00,000 and ₹ 1,25,000 respectively. Pass the necessary Journal entries relating to appropriation our of profit and Loss Appropriation Account and the Partners Capital