Question 54 Chapter 2 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 54 Chapter 2 of +2- Part-

Question 54 Chapter 2 of +2-Part-1

54. (Profit and loss appropriation a/c, Partners Capital and Current a/c) R, S and T are partners sharing profits and losses in proportion to their capitals in the beginning of the year. They are entitled to draw annually Rs.3,000, Rs.2,500 and Rs.2,000 respectively as out of their anticipated share of profits.
Any drawings in excess of these amounts are to be regarded as advances taken from the firm and are to be subject to interest @18% p.a. the capital in the beginning of the year is to be allowed interest @ 15% p.a.
The capitals of the partners in the beginning of the year were R- Rs. 40,000; S- Rs.30,000 and T- Rs. 20,000. The credit balances of their current accounts were as R- Rs.1,152, S- Rs.1,864 and T- Rs.576
Their drawings during the year were as R- Rs.7,000; S-Rs. 9,500 and T- Rs.3,000. The profit for the year was Rs.30,420 before making any adjustment for interest as above.
Draw up the Profit and Loss appropriation account, Capital and Current accounts of the partners for the year ended 31st March 2018.

The solution of Question 54 Chapter 2 of +2 Part-1: – 

 

Profit and Loss Account A/c
Particulars
Amount Particulars
Amount
To Interest on capital – R 6,000   By net profit   30,420
-S 4,500   By Interest on drawings –    
-T 3,000 13,500 R on Rs.4,000(7,000-3,000) 360  
      S on Rs.7,000(9,500-2,500) 630  
      T on Rs.1,000(3,000-2,000) 90 1,080
To Net profit transferred to Capital a/cs          
-R- 4/9 8,000        
-S-3/9 6,000        
-T-2/9 4,000 18,000      
    31,500     31,500

 

Profit and Loss Account A/c
Particulars
R S T Particulars
R S T
          By Balance B/d   40,000 30,000 20,000
To Balance c/d   40,000 30,000 20,000          
    40,000 30,000 20,000     40,000 30,000 20,000

 

Profit and Loss Account A/c
Particulars
R S T Particulars
R S T
To Drawings A/c   7,000 9,500 3,000 By Balance B/d   1,152 1,864 576
To interest on Drawings A/c   360 630 90 By Interest on Capital A/c   6,000 4,500 3,000
          By net profit   8,000 6,000 4,000
To Balance c/d   7,792 2,234 4,486          
    15,152 12,364 7,576     15,152 12,364 7,576

 

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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
  • Chapter No. 3 – Partnership Accounts – II (Introduction)
  • Chapter No. 4 – Partnership Accounts – III (Goodwill: Nature and Valuation)
  • Chapter No. 5 – Partnership Accounts – IV (Reconstitution of Partnership)
  • Chapter No. 6 – Partnership Accounts – V (Admission of A Partner)
  • Chapter No. 7 – Partnership Accounts – VI (Retirement and Death of A Partner)
  • 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 (Balance Sheet Only)
  • Chapter No. 2 – Techniques of Financial Statement Analysis
  • Chapter No. 3 – Ratio Analysis 
  • Chapter No. 4 – Cash Flow Statement

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

2 Book 1 min - Question 54 Chapter 2 of +2 Part-1 - USHA Publication  12 Class Part - 1
Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms

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