# Question 40 Chapter 2 – Unimax Class 12 Part 1 – 2021

Question 40 Chapter 2 – Unimax Class 12 Part 1

40. Prepare the Capital Accounts of partners P and Q from the following details, assuming that their capitals are fluctuating :

 P (Rs.) Q (Rs.) Capital as on 1st April, 2020 200000 150000 Drawings 40000 10000 Interest on Capital 6% 6% Interest on Drawings 5% 5% Share of Profit 30000 20000 Salary 12000 9600 Commission 500 – Interest on Loan Account – 3000

## The solution of Question 40 Chapter 2 – Unimax Class 12 Part 1:

Partner’s Capital Accounts’

 Particulars P Q Particulars P Q To drawings 40000 10000 By Balance b/d 200000 150000 To Interest on drawings A/c 1000 250 By Profit 30000 20000 To Bal c/d 213500 178350 By Salary A/c 12000 9600 By Commission 500 – By Int. on Capital A/c 12000 9000 254500 188600 254500 188600

Working Notes :
(1) P’s Interest on drawings = Rs. 40000 x 5% x 6/12
=Rs. 1000
Q’s Interest on drawings = Rs. 10000 x 5% x 6/12 = Rs. 250
(2) Interest on loan to Q should be credited to his loan account or to a separate outstanding interest account

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)