Question 33 Chapter 3 - Unimax Class 12 Part 1 - 2021

Question 33 Chapter 3 – Unimax Class 12 Part 1

Table of Contents

The solution of Question 33 Chapter 3 – Unimax Class 12 Part 1:

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

33. Alisha, Aman and Meenu are three partners. On 1st April, 2020 their respective Capitals were Rs. 80000, Rs. 60000 and Rs. 40000. On the same date, their current account balance were Alish = Rs. 4000 (Cr.), Aman = Rs. 2000 (Dr.), Meenu = Rs. 2500 (Cr.).

Profits are to be divided equally upto Rs. 15000. Above that amount Alisha gets 50%, Aman gets 30% and Meenu gets 20%. Drawings of Alisha, Aman and Meenu for year ending 31st March, 2021 were Rs. 4000, Rs. 1000, Rs. 1500 respectively. The profit for year ended 31st March, 2021 amounted to Rs. 33200 before charging interest on capital which is allowed @ 4% per annum.

You have to prepare Profit and Loss Appropriation Account, Partners Capital Accounts and Partners Current Accounts.

The solution of Question 33 Chapter 3 – Unimax Class 12 Part 1:

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

Particulars		Rs.	Particulars	Rs.
To Interest on Capital			By Net Profit	33200
– Alisha	3200
– Aman	2400
– Meenu	1600	7200
To Profit transferred to capital A/c
– Alisha	10500
– Aman	8300
– Meenu	7200	26000
		33200		33200

Partners’ Capital Accounts

Particulars	Alisha	Aman	Meenu	Particulars	Alisha	Aman	Meenu
				By Balance b/d	80,000	60,000	40,000
To Balance c/d	80,000	60,000	40,000
	80,000	60,000	40,000		80,000	60,000	40,000

Partners’ Current Accounts

Particulars	Alisha	Aman	Meenu	Particulars	Alisha	Aman	Meenu
To Balance b/d	–	2000	–	By Balance b/d	4000	–	2500
To Drawings A/c	4000	1000	1500	By P&L app. A/c (share of profit)	10500	8300	7200
				By Interest on capital A/c	3200	2400	1600
To Balance c/d	13700	7700	9800
	17700	10700	11300		17700	10700	11300

Working Notes : Calculation of Share of Profit :
Profit Sharing Ratio = 4 : 3 : 2
Alisha = Rs. 15000 x 1/3 + Rs. (26000 -15000) x 50/100
= Rs. 10500
Aman = Rs. 15000 x 1/3 + Rs. (26000 -15000) x 30/100
= Rs. 8300
Meenu = Rs. 15000 x 1/3 + Rs. (26000 -15000) x 20/100
= Rs. 7200