Mention a case where Profit & Loss Appropriation Account will be prepared even if Profit & Loss Account discloses net loss. Post category:Accountancy Reading time:1 mins read SOLUTION In case of Interest on Drawings. Application based Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostWhy is Profit and Loss Appropriation Account prepared by a Partnership Firm? Next PostA and B jointly purchased a plot of land. Will they be called partners? You Might Also Like X, Y and Z are partners in a firm in the ratio of 4: 3; 2. On firm’s dissolution, firm’s total assets are Rs. 70,000, creditors are Rs. 15,000. Realisation expenses are Rs. 2,100. Assets realised 15% more than the book-value. Creditors were paid 2% more. For profit / loss on realisation, y’s capital account will be debited / credited with how much amount? September 27, 2022 X and Y are partners sharing profits in the ratio of 3: 2 with capitals of Rs. 8,00,000 and Rs. 6,00,000 respectively. Interest on capital is agreed @ 5% p.a. Y is to be allowed an annual salary of Rs. 60,000 which has not been withdrawn. Profit for the year ended 31st March, 2019 before interest on capital but after charging Y’s salary amounted to Rs. 2,40,000. A provision of 5% of the profit is to be made in respect commission to the manager. Prepare an account showing the allocation profits. July 20, 2022 What will be the operating profit ratio, if operating ratio is 88.94%? October 3, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
X, Y and Z are partners in a firm in the ratio of 4: 3; 2. On firm’s dissolution, firm’s total assets are Rs. 70,000, creditors are Rs. 15,000. Realisation expenses are Rs. 2,100. Assets realised 15% more than the book-value. Creditors were paid 2% more. For profit / loss on realisation, y’s capital account will be debited / credited with how much amount? September 27, 2022
X and Y are partners sharing profits in the ratio of 3: 2 with capitals of Rs. 8,00,000 and Rs. 6,00,000 respectively. Interest on capital is agreed @ 5% p.a. Y is to be allowed an annual salary of Rs. 60,000 which has not been withdrawn. Profit for the year ended 31st March, 2019 before interest on capital but after charging Y’s salary amounted to Rs. 2,40,000. A provision of 5% of the profit is to be made in respect commission to the manager. Prepare an account showing the allocation profits. July 20, 2022