moli bholaand rajwerepartnersin firmsharingprofits and lossesin theratio 3:3:4. their partnershipDeedprovidedfor thefollowing: (i)Interest in capital @5% p.a(ii) interest on drawings @12@ p.a (iii)intereston partners'loan@6%p.a(iv)Moli wasallowedanannual salary of Rs. 4,000 , bholawasallowed a commission of 10%of netprofitas shown by profitand lossAccountand Raj wasguaranteda profitasshownby profitandlossaccountand Raj Wasguaranted a profitof Rs. 1,50,000 aftermaking alltheadjustments asprovided in thepartnership agreement theirfixedcapitalsweremoli Rs. 5,00,000 BholaRs. 8,00,000 and raj : Rs,Rs, 4,00,000 On 1stapril2016Bholaextended a loanof Rs. 1,00,000 to thefirmthe netprofitof thefirmforthe yearended31st March2017beforeinterestonbhola 's loanwasRs. 3,06,000 prepaneprofitand loss AppropriationAccountofMoliBholaand rajfortheyearended31st March 2017 and theirCurrentaccountsassumingthatbholawithdrewRs. 40.000 attheendhalfyear.

moli bholaand rajwerepartnersin firmsharingprofits and lossesin therat

1.	moli bholaand rajwerepartnersin firmsharingprofits and lossesin theratio 3:3:4. their partnershipDeedprovidedfor thefollowing: (i)Interest in capital @5% p.a(ii) interest on drawings @12@ p.a (iii)intereston partners'loan@6%p.a(iv)Moli wasallowedanannual salary of Rs. 4,000 , bholawasallowed a commission of 10%of netprofitas shown by profitand lossAccountand Raj wasguaranteda profitasshownby profitandlossaccountand Raj Wasguaranted a profitof Rs. 1,50,000 aftermaking alltheadjustments asprovided in thepartnership agreement theirfixedcapitalsweremoli Rs. 5,00,000 BholaRs. 8,00,000 and raj : Rs,Rs, 4,00,000 On 1stapril2016Bholaextended a loanof Rs. 1,00,000 to thefirmthe netprofitof thefirmforthe yearended31st March2017beforeinterestonbhola 's loanwasRs. 3,06,000 prepaneprofitand loss AppropriationAccountofMoliBholaand rajfortheyearended31st March 2017 and theirCurrentaccountsassumingthatbholawithdrewRs. 40.000 attheendhalfyear.
Answer» Solution : Working notes 1.Calculationof interest on DRAWING:(a)intereston moli'sdrawingsondawing s RS. 40,000i.e, 10,000`xx`4instralments )`xx`4.5 /12months`xx`12/100 =Rss. 1.800 (b)interest on Bhola'sDrawingdrawing: rs.60,000(i.e,.,Rs. 40.000 `xx` 12 MONTHS`xx` 12/100=Rs. 2.400 *Averageperiod `=("monthsleftfirstDrwings + Monthsleft afterlastdrawings")/(2)` (A)averagepeiod incaseof moli=`(9+0)/(2)=4.5` months . (b) AVERAGE periodin caseof bhola `=(11+0)/(2) =5.5` months, (c )Average periodincaseof raj`=(6+0)/(2)=3` nmonths . weapplyaveragepriodof thecalculationof intereston drawingswhena uniformamountiswithdrawnat regularinterval . 2. Distributionofprofit : profit after adjustment(rs. 3.00.000 +rs.7500 -Rs. 85.000 -rs. 4.000-Rs. 30.000 )=rs. 1.88.500willdistributedamongmolibholaand rajub the ratioof 3:3:4 Moli's share=Rs. 56.550 bhola 'sshare 56.550 and raj's share Rs. 75.400. Howeverraj 'sminimumguarantedprofitis Rs,.1.50.000 So thereis adefivencyfo Rs. 74.600(i.e., Rs. 1.56.000 -RS. 75.400) deficiencyto beborneby moliandbholaequallyie.,rs. 37.300 each

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