13.X, Y and Z were partners in a firm. Their capitals on 1.4.2012 were : X Rs.2,00,000; Y Rs.2,50,000 and Z Rs.3,00,000. The partnership deed provided for the following:
(i) They will share profits in the ratio of 2:3:3.
(ii) X will be allowed a salary of Rs.12,000 per annum.
(iii) Interest on capital will be allowed @12% p.a.
During the year X withdrew Rs.28,000; Y Rs.30,000 and Z Rs.18,000. For the year ended 31.3.2013 the firm earned a profit of Rs.5,00,000.
Prepare Profit Loss Appropriation A/c and Partners Capital A/cs.
|Profit and Loss Appropriation Account
for the year ended March 31, 2013
|Interest on Capital||Profit and Loss A/c||5,00,000|
|X’s Capital A/c (Salary)||12,000|
|Profit transferred to:|
|X’s Capital A/c||99,500|
|Y’s Capital A/c||1,49,250|
|Z’s Capital A/c||1,49,250||3,98,000|
|Partners’ Capital Account|
|Drawings A/c||28,000||30,000||18,000||Balance b/d||2,00,000||2,50,000||3,00,000|
|Balance c/d||3,07,500||3,99,250||4,67,250||Interest on Capital A/c||24,000||30,000||36,000|
|P&L App. A/c (Salary)||12,000|
|P&L App. A/c (Profit)||99,500||1,49,250||1,49,250|
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