PLZZ answer ques 28 Chapter 1 • Accounting for Partnership Firms—Fundamentals I .85
27. X, Y and Z are partners sharing profits and losses equally. As per partnership Deed, Z is entitled to a
commission of 10% on the net profit after charging such commission. The net profit before charging
commission is
[Ans.: Commission Payable to 20,000.]
Determine the amount of commission payable to Z.
28. A, B, C and D are partners in a firm sharing profits as 4 : 3 : 2 : 1 respectively. It earned a profit of
for the year ended 31st March, 2017. As per the Partnership Deed, they are to charge a
commission @ 20% of the profit after charging such commission which they will share as 2 : 3 : 2 : 3.
You are required to show appropriation of profits among the partners.
[Ans.: Commission payable to the partners = 20/120 x = t 30,000 which will
shared as: 9,000; and
Share of Profits: A— and 15,000.
29. xand Yare partners in a firm. Xis entitled to a salary 10,000 per month and commission
net proflQ.frr partners' salaries but charging commission. Yis entitled to a salary 25,000
and commission of 10% of the net profit QLer charging all commission and partners' salaries. Net profi
before providing for partners' salaries and commission for the year ended 31st March, 2017 wa
[Ans.: X's Y's Commission— t
Net X and Y Share—e each
Show distribution of profit.
- 10/110 of (i.e., - (X's salåry) - 25,00
[Hint: Y's Commission —
(Y's Salary) — 27,500 (X's Commission))]
Calculation Of Interest on Partners' Drawings
nrivate use R and Z 80,000. Interest is chargeable@ 6% p..
