Question 19 Chapter 2 of +2-Part-1
Table of Contents
19. (Interest on Capital/Journal Entry) C and D have capital of Rs.70,000 and Rs.90,000 on 1st April 2014. C made an addition of Rs.40,000 to his capital on 1st October 2014. Interest on capital is allowed @ 10% p.a. Pass journal entry for the interest on capital for the year ended 31st March 2015.
The solution of Question 19 Chapter 2 of +2 Part-1: –
Particulars |
Details | Amount | ||
C’s Capital: | ||||
On 70,000 @10% for 1 year | 7,000 | |||
On 40,000 @10% for 1/2 year | 2,000 | 9,000 | ||
D’s Capital: | ||||
On 90,000 @10% for 1 year | 9,000 | |||
Journal | |||||
Date | Particulars |
L.F. | Debit | Credit | |
Interest on Capital A/c | Dr. | 18,000 | |||
To C’s Capital A/c | 9,000 | ||||
To D’s Capital A/c | 9,000 | ||||
(Being interest on Capital allowed) | |||||
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Also, Check out the solved question of previous Chapters: –
Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution
- Chapter No. 1 – Accounting Not for Profit Organisations
- Chapter No. 2 – Partnership Accounts – I (Introduction)
- Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation)
- Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership)
- Chapter No. 5 – Partnership Accounts – IV (Admission of A Partner)
- Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner)
- Chapter No. 7 – Partnership Accounts – VI (Dissolution of Partnership Firm)
- Chapter No. 8 – Company Accounts (Share Capital)
- Chapter No. 9 – Company Accounts (Issue of Debentures)
- Chapter No. 10 – Company Accounts (Redemption of Debentures)
Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution
- Chapter No. 1 – Financial Statements of a Company
- Chapter No. 2 – Financial Statement Analysis
- Chapter No. 3 – Tools of Financial Statement Analysis- Comparative and Common Size
- Chapter No. 4 – Ratio Analysis
- Chapter No. 5 – Cash Flow Statement
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