Ram, Raj and George are partners sharing profits in the ratio 5 : 3 : 2

Ram, Raj and George are partners sharing profits in the ratio 5 : 3 : 2. According to the partnership agreement George is to get a minimum amount of ₹ 10,000 as his share of profits every year. The net profit for the year 2013 amounted to ₹ 40,000. Prepare the Profit and Loss Appropriation Account.

[Ans: Profit transferred to Ram’s Capital ₹ 18,750 Raj’s Capital ₹ 11,250 and George’s Capital ₹ 10,000]