Solve this:
Q. 42. P. Q and R are partners sharing profits in the ratio of 2:1:1. Their capitals as on 1st April, 2010 were Rs. 50,000, Rs. 30,000 and Rs. 20,000 respectively. At the end of the year ending 31st March, 2011 it was found out that interest on capital @ 12% p.a., salaries to P, Rs. 500 per month and R Rs. 1,000 per month were not adjusted from the profits. Show adjusting entry to be made in the next year for above adjustment.
[Ans.. Capital A/cs of P and Q will be debited by Rs. 3,000 and Rs. 3,900 respectively; and Capital A/c of R will be creadited by Rs. 6,900.}
Dear Student,
Journal | ||||
Date | Particulars | Debit | Credit | |
P's Capital A/c | Dr. | 3,000 | ||
Q's Capital A/c | Dr. | 3,900 | ||
To R's Capital A/c | 6,900 | |||
(Being Adjustment made) | ||||
Statement of Working | ||||
Particulars | P | Q | R | Total |
The amount that should have been actually credited or (Debited) | ||||
Interest on Capital @ 12% on Opening Capital | 6,000 | 3,600 | 2,400 | 12,000 |
Salary | 6,000 | - | 12,000 | 18,000 |
Total | 12,000 | 3,600 | 14,400 | 30,000 |
The Total Amount computed above already wrongly credited in PSR | ||||
As Profit in Ratio 2:1:1 | 15,000 | 7,500 | 7,500 | 30,000 |
Difference : to be credited or (debited) | (3,000) | (3,900) | 6,900 | - |
Debit | Debit | Credit | |