# Question 44 Chapter 2 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Question 44 Chapter 2 of +2-A

44. Show how the following will be recorded in the Capital Accounts of the Partners Sohan and
Mohan when their capitals are fluctuating:

 Sohan Mohan Capital on 1st April 2018 4,00,000 3,00,000 Drawings during the year ended 31st March 2019 50,000 30,000 Interest on Capital 5% 5% Interest on Drawings 1,250 750 Share of Profit for the year ended 31st March 2019 60,000 50,000 Partner’s Salary 36,000 ….. Commission 5,000 3,000

The solution of Question 44 Chapter 2 of +2-A

:

 Partners’ Capital Accountsfor the year ended 31st March 2019 Particulars Sohan Mohan Particulars Sohan Mohan To Drawings A/c 50,000 30,000 By Balance B/d 4,00,000 3,00,000 To Interest on Drawings A/c 1,250 750 By Interest on Capital A/c *1 20,000 15,000 By P&L Appropriation A/c 60,000 50,000 By P&L Appropriation A/c 36,000 – By Commission A/c 5,000 3,000 To Balance c/d 4,69,750 3,37,250 5,21,000 3,68,000 5,21,000 3,68,000

Working Note: –

*1Calculation of Interest on Sohan’s & Mohan’s Capital by Simple Method
Interest on Capital= Opening Capital X Rate of Interest

 Interest on Sohan’s Capital = 4,00,000 X 5 100

Interest on Sohan’s Capital = 20,000/-

 Interest on Mohan’s Capital = 3,00,000 X 5 100

Interest on Mohan’s Capital = 15,000/-

Comment if you have any questions.

Also, Check out the solved question of previous Chapters: –

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

• Chapter No. 1 – Financial Statement of Not-For-Profit Organisations
• Chapter No. 2 – Accounting for Partnership Firms – Fundamentals
• Chapter No. 3 – Goodwill: Nature and Valuation
• Chapter No. 4 – Change in Profit-Sharing Ratio Among the Existing Partners
• Chapter No. 5 – Admission of a Partner
• Chapter No. 6 – Retirement/Death of a Partner
• Chapter No. 7 – Dissolution of a Partnership Firm

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

• Chapter No. 1 – Financial Statements of a Company
• Chapter No. 2 – Financial Statement Analysis
• Chapter No. 3 – Tools of Financial Statement Analysis – Comparative Statements and Common- Size Statements
• Chapter No. 4 – Accounting Ratios
• Chapter No. 5 – Cash Flow Statement