Q103. X, Y and Z were in partnership. X and Y sharing profits in the proportion of 2 : 1 and Z receiving a salary of Rs. 1,790 per month plus 5% of the profit after charging his salary and commission or th of the profit of the firm whichever is more.
Any excess of the latter over the former received byZis, under the partnership deed, to be borne by X. The profit for the year ended 31st March,2014 amounted to Rs. 1,28,520 after charging Z's salary.
Prepare the Profit and Loss Appropriation Account showing the division of the profit of the year.
[Ans. Profit X Rs. 79,200 ; Rs. 40,800 and Z Rs. 30,000. ]
