1.

Rakesh retired from the firm. The amount due to him was determined at ₹ 90,000. It was decided to pay the due amount as follows:On the date of retirement − ₹ 30,000Balance in three yearly instalments − First two instalments being of ₹ 26,000, including interest; and Balance amount as last instalment.Interest was payable 10 p.a. Prepare retiring Partners' Loan Account.

Answer» Rakesh retired from the firm. The amount due to him was determined at ₹ 90,000. It was decided to pay the due amount as follows:

On the date of retirement − ₹ 30,000

Balance in three yearly instalments − First two instalments being of ₹ 26,000, including interest; and Balance amount as last instalment.

Interest was payable 10 p.a. Prepare retiring Partners' Loan Account.


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