Fluctuating Capitals ( 5 (A). On 1st April, 2018 A and B commenced business with


My question:

Fluctuating Capitals
( 5 (A). On 1st April, 2018 A and B commenced business with Capitals of16,00,000 and $2,00,000 respectively. On 31st March, 2019 the net profit (beforetaking into account the provisions of deed) was 62,40,000. Interest on capitals is to beallowed at 6% p.a. B was entitled to a salary of 360,000 p.a. The drawings of thepartners A and B were $60,000 and 340,000 respectively. The interest on Drawings forA being 2,000 and B 1,000. Assuming that A and B are equal partners, prepare theProfit & Loss Appropriation A****************/


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