Question 19 Chapter 2 – Unimax Class 12 Part 1 – 2021

Question 19 Chapter 2 - Unimax Class 12 Part 1 - 2021

Question 19 Chapter 2 – Unimax Class 12 Part 1

19. Form the following Balance Sheet of A and B as on 31st March, 2021. Calculate interest on capital @ 5% per annum payable to B for the year ended 31st March, 2021.

Liabilities Amount Assets Amount
A’s Capital 10000 Sundry Assets 24000
B’s Capital 8000    
Profit and Loss Appropriation A/c (2020-21) 6000    
  24000   24000

During the year B’s drawings were Rs. 2000. Profit during year ended 31st March, 2021 was Rs. 7000.

The solution of Question 19 Chapter 2 – Unimax Class 12 Part 1: 

Calculation of Interest on B’s capital for the year ended 31st March, 2006

B’s capital as on 31.3.2006 Rs.
Add : Drawings during 2005-2006 8000
Less : Profit already credited during 2005-2006 2000
(1/2 of (7000-6000)) 10000
Capital as on 1st April, 2005 500
Interest on capital = Rs. 9500 x 5% = Rs. 475 9500

https://tutorstips.com/not-for-profit-organisations/

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication

Leave a Reply

Your email address will not be published. Required fields are marked *