13.X, Y and Z were partners in a firm. Their capitals on 1.4.2012 were : X Rs.2,00,000; Y Rs.2,50,000 and Z Rs.3,00,000. The partnership deed provided for the following:
(i) They will share profits in the ratio of 2:3:3.
(ii) X will be allowed a salary of Rs.12,000 per annum.
(iii) Interest on capital will be allowed @12% p.a.
During the year X withdrew Rs.28,000; Y Rs.30,000 and Z Rs.18,000. For the year ended 31.3.2013 the firm earned a profit of Rs.5,00,000.
Prepare Profit Loss Appropriation A/c and Partners Capital A/cs.
Hi Aditi, the solution to your query is provided below.
Moreover, such type of questions are already covered in our study material. Please go through the following link.
https://www.meritnation.com/cbse/class12-commerce/studymaterial/accountancy/partnership-accounts/accounting-for-partnership--basic-concepts/435_2429_5864#slide2_profit-and-loss-appropriation-account
Profit and Loss Appropriation Account for the year ended March 31, 2013 |
||||
Dr. | Cr. | |||
Particulars | Amount Rs |
Particulars | Amount Rs |
|
Interest on Capital | Profit and Loss A/c | 5,00,000 | ||
X | 24,000 | |||
Y | 30,000 | |||
Z | 36,000 | 90,000 | ||
X’s Capital A/c (Salary) | 12,000 | |||
Profit transferred to: | ||||
X’s Capital A/c | 99,500 | |||
Y’s Capital A/c | 1,49,250 | |||
Z’s Capital A/c | 1,49,250 | 3,98,000 | ||
5,00,000 | 5,00,000 | |||
Partners’ Capital Account | |||||||
Dr. Cr. | |||||||
Particulars | X | Y | Z | Particulars | X | Y | Z |
Drawings A/c | 28,000 | 30,000 | 18,000 | Balance b/d | 2,00,000 | 2,50,000 | 3,00,000 |
Balance c/d | 3,07,500 | 3,99,250 | 4,67,250 | Interest on Capital A/c | 24,000 | 30,000 | 36,000 |
P&L App. A/c (Salary) | 12,000 | ||||||
P&L App. A/c (Profit) | 99,500 | 1,49,250 | 1,49,250 | ||||
3,35,500 | 4,29,250 | 4,85,250 | 3,35,500 | 4,29,250 | 4,85,250 | ||
Moreover, such type of questions are already covered in our study material. Please go through the following link.
https://www.meritnation.com/cbse/class12-commerce/studymaterial/accountancy/partnership-accounts/accounting-for-partnership--basic-concepts/435_2429_5864#slide2_profit-and-loss-appropriation-account