Question 42 Chapter 2 - Unimax Class 12 Part 1 - 2021

Question 42 Chapter 2 - Unimax Class 12 Part 1

42. Ketak, Varun and Mohit are in partnership sharing profits and losses in ratio 5 : 3 : 2. Their Capitals as on 1st April, 2020 were Rs. 200000, 150000 and Rs. 75000 respectively. Their partnership deed provides the following :
(i) Partners are to be allowed interest on Capital 10% per annum.
(ii) Interest on Drawing is charged @ 20% per annum.
(iii) Ketak is entitled to a Salary of Rs. 1500 per month for use of his premises by firm which has already been paid in cash.
(iv) Varun is entitled to a Salary of Rs. 1000 per month.
(v) Mohit is entitled to a commission of 10% of net profit before charging such commission but after providing other above given clauses.
During the year Ketak withdrew Rs. 1000 in beginning of each month. Varun and Mohit’s drawing in year were Rs. 30000 and Rs. 40000 respectively.
The net profit of the firm for the year ended 31st March, 2021 before providing any of above clause was Rs. 175000.

The solution of Question 42 Chapter 2 - Unimax Class 12 Part 1:

Profit & Loss of Appropriation A/c of firm For the year ended 31st March., 2021