Question

Ram, Rahim and Karim are partners in a firm. They do not have a Partnership Deed. In
the matter of distribution of profits, they claim as follows:
(1) Ram, who has contributed more capital than Rahim and Karim, demands interest on the capital
@ 12% p.a. and the share of profit in the capital ratio. But Rahim and Karim do not agree.
(ii) Rahim has devoted full time to manage the business and demands salary of * 25,000 per
month. But Ram and Karim do not agree with him.
(ü) Karim demands interest on the loan of * 2,00,000 given by him to the firm @ 10% p.a.
How will be the disputes settled? Prepare Profit and Loss Appropriation Account. Net
Profit before taking into account the above claims is 4,50,000.

Answer 1

Answer:

where is the capital balances??