What is meant by fixed capital of partners? Post category:Accountancy Reading time:1 mins read SOLUTION Partner’s capital is said to be fixed when the capital of partners remain unaltered, unless additional capital is introduced or a part of the capital is withdrawn permanently as per agreement among the partners. 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 PostKavita and Laxmi run a charitable dispensary. Kavita wants to have a partnership deed. What is your opinion? Next PostWhat is meant by fluctuating capital of partners? You Might Also Like P, Q and R are partners sharing profits in the ratio of 7: 5: 3. P retires and it is decided that profit-sharing ratio between Q and R will be same as existing between P and Q. Calculate New profit-sharing ratio and Gaining Ratio. August 3, 2022 A, B and C were partners in a firm having capitals of Rs. 50,000; Rs. 50,000 and Rs. 1,00,000 respectively. Their Current Account balances were A: Rs. 10,000; B: Rs. 5,000 and C: Rs. 2,000 (Dr.). According to the Partnership Deed the partners were entitled to an interest on Capital @ 10% p.a. C being the working partner was also entitled to a salary of Rs. 12,000 p.a. The profits were to be divided as: (a) The first Rs. 20,000 in proportion to their capitals. (b) Next Rs. 30,000 in the ratio of 5: 3: 2. (c) Remaining profits to be shared equally. The firm earned net profit of Rs. 1,72,000 before charging any of the above items. Prepare Profit and Loss Appropriation Account and pass necessary Journal entry for the appropriation of profits. October 11, 2022 Following figures have been extracted from Shivalika Mills Ltd :- Inventory in the beginning of the year Rs. 60,000. Inventory at the end of the year Rs. 1,00,000. Inventory Turnover Ratio 8 times. Selling price 25% above cost. Compute amount of Gross Profit and Revenue from Operations (Net Sales). August 13, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
P, Q and R are partners sharing profits in the ratio of 7: 5: 3. P retires and it is decided that profit-sharing ratio between Q and R will be same as existing between P and Q. Calculate New profit-sharing ratio and Gaining Ratio. August 3, 2022
A, B and C were partners in a firm having capitals of Rs. 50,000; Rs. 50,000 and Rs. 1,00,000 respectively. Their Current Account balances were A: Rs. 10,000; B: Rs. 5,000 and C: Rs. 2,000 (Dr.). According to the Partnership Deed the partners were entitled to an interest on Capital @ 10% p.a. C being the working partner was also entitled to a salary of Rs. 12,000 p.a. The profits were to be divided as: (a) The first Rs. 20,000 in proportion to their capitals. (b) Next Rs. 30,000 in the ratio of 5: 3: 2. (c) Remaining profits to be shared equally. The firm earned net profit of Rs. 1,72,000 before charging any of the above items. Prepare Profit and Loss Appropriation Account and pass necessary Journal entry for the appropriation of profits. October 11, 2022
Following figures have been extracted from Shivalika Mills Ltd :- Inventory in the beginning of the year Rs. 60,000. Inventory at the end of the year Rs. 1,00,000. Inventory Turnover Ratio 8 times. Selling price 25% above cost. Compute amount of Gross Profit and Revenue from Operations (Net Sales). August 13, 2022