Q.26:


Q. 26. Current Account's Balances as on 1st April, 2013 were as :- Amit : Rs. 5,000 (Cr), Namit : Rs. 2,000 (Cr.) and Ruchi : Rs. 1,000 (Dr.). Profit sharing ratio was 3:2:1 Amit gets a monthly Salary of Rs 1,500.

Amit Draws Rs. 2,000 on the first day of each month and Namit draws Rs. 2,000 on the last date of each month while Ruchi draws Rs 6,000 at the end of each quarter. Interest on drawings is to be charged @ 12% p.a. Profits for the year ended 31st March, 2014 before adjustments of interest on drawings and of salary were Rs. 74,040. Show Current Accounts. 

 

Dear Student
 
Partner's Current A/c
Particulars  Amit   Namit   Ruchi  Particulars  Amit   Namit   Ruchi 
 Bal B/d                                            -                     -              1,000 Balance b/d 5,000 2,000 0
 Interest on Drawings                                     1,560            1,320            1,080  Salary  18,000 0 0
 Drawings                                  24,000          24,000          24,000        
         Profit and loss Appropriation  30,000 20,000 10,000
               
               
Bal C/d 27,440 0 0 Bal C/d   3,320 16,080
               
  53,000 25,320 26,080   53,000 25,320 26,080
 
Calculation of Interest on  Drawings
  Amit Namit Ruchi
Total Drawings 24,000 24,000 24,000
Rate 12%
Average Time Period 6.5 5.5 4.5
Interest on Drawings 1,560 1,320 1,080
  (24000 x 0.12 x 6.5/12) (24000 x 0.12 x 5.5/12) (24000 x 0.12 x 4.5/12)

 

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