Advertisement

Question 66 Chapter 2 of Class 12 Part – 1 VK Publication

Question 66 Chapter 2 of Class 12 Part - 1 VK Publication
Question 66 Chapter 2 of Class 12 Part - 1 VK Publication

Advertisement

Question 66 Chapter 2 of Class 12 Part – 1

Advertisement

66. P, Q and Rare partners in a firm sharing profits and losses in the ratio 5:3:2. Their capitals (fixed) are Rs. 4,00,000; Rs. 3,00,000; and Rs. 2,50,000 respectively. For the year ended 31st March, 2018 interest on capital was credited to them @8% instead of 10% Give adjustment journal entry.

The solution of Question 66 Chapter 2 of Class 12 Part – 1: –

Table Adjustment 

Particulars 

P Rs.

 Q Rs. 

R Rs.Total Rs.
Interest that Should have been credited @12%40,00030,00025,00095,000
Less: Interest already credited @ 8%32,00024,00020,00076,000
Partners less credited with (Cr.) (A)8,0006,0005,00019,000
By allowing this interest , the profits of the firms will be reduced by Rs. 19,000 which will be divided in the ratio of 5:3:2 (Dr.) (B)9,5005,7003,80019,000
Net Effect (A-B)(Dr.) 1,500( Cr.) 300(Cr.) 1,200NIL

Adjustment Journal Entry

Date Particular L . F
 
Dr. ₹Cr. ₹
 P’s Current A/cDr. 1,500 
 To Q’s Current A/c   300
 To R’s Current A/c   1,200
 (Being interest on capital is less charged on capital , now rectified)    

Advertisement-X

 

Thanks, Please Like and share with your friends  

Comment if you have any questions.

Also, Check out the solved question of all 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)

Advertisement-X

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)

Advertisement-X

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

Advertisement-X

Chapter No. 5 – Cash Flow Statement

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

+2 Book 1-min
Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms

Advertisement

Advertisement

error: Content is protected !!