Question 27 Chapter 2 of +2-Part-1
27. Money and Rupee are partners sharing profits in the ratio of 2:1. Their capitals were Rs.1,20,000 and Rs. 90,000 respectively.
Show the distribution of profits/losses in each of the following alternative cases:
Case A: Profits are Rs.45,000 and deed is silent as regards interest on capital.
Case B: Profits are Rs.45,000 and deed provides for interest on capital @10% p.a.
Case C: Profits are Rs.16,800 and deed provides for interest on capital @10% p.a.
Case D: Profit is Rs.16,800 and deed provides for interest on capital @10% p.a. even there is a loss.
Case E: Loss is Rs.6,000 and deed provides for interest on capital @10% p.a. even there is a loss.
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The solution of Question 27 Chapter 2 of +2 Part-1: –
Case – A :
Money’s Share in profit 2/3 i.e. Rs.30,000
Rupee’s Share in profit 1/3 i.e. Rs.15,000
Note: No interest on capital will be allowed.
Case – B :
Net profit after interest on Capitals:
Rs.(45,000-12,000-9,000) = Rs.24,000
Money’s Share in profit (2/3 of Rs.24,000) i.e. Rs.16,000
Rupee’s Share in profit (1/3 of Rs.24,000) i.e. 8000
Case – C :
Net profit after interest on Capitals:
Rs.(12,000+9,000-16,800) = Rs.4,200,
Money’s Share of loss on Capital ratio = (Rs.4,200*4/7) i.e. Rs.2,400
Rupee’s Share of loss on Capital ratio = (Rs.4,200*3/7) i.e. Rs.1,800
Money’s Share in profit = Interest on Capital (12,000-2,400) = Rs.9,600
Rupee’s Share in profit = Interest on Capital (9,000-1,800) = Rs.7,200
Case – D :
| Particulars |
||||
| Interest on Capital: | ||||
| -Money | 12,000 | |||
| -Rupee | 9,000 | 21,000 | ||
| Less: Net Profit | 16,800 | |||
| Net Loss | 4,200 | |||
Money’s Share of loss =2/3*4,200 i.e. Rs.2,800
Rupee’s Share in loss= 1/3*4,200 i.e. Rs.1,400
Case – E :
| Particulars |
||||
| Interest on Capital: | ||||
| -Money | 12,000 | |||
| -Rupee | 9,000 | 21,000 | ||
| Less: Net Profit | 6,000 | |||
| Net Loss | 27,000 | |||
Money’s Share of loss =2/3*27,000 i.e. Rs.18,000
Rupee’s Share in loss= 1/3*27,000 i.e. Rs.9,000
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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
Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication
