A and B are partners sharing profits and losses in the ratio of 3 : 1. Following is the Balance Sheet of the firm as at 31st March, 2024
A and B are partners sharing profits and losses in the ratio of 3 : 1. Following is the Balance Sheet of the firm as at 31st March, 2024.
| Liabilities | ₹ | Assets | ₹ |
|
A’s Capital B’s Capital |
90,000 30,000 |
Drawings: A B Sundry Assets |
12,000 6,000 1,02,000 |
| Â | 1,20,000 | Â | 1,20,00 |
Profit for the year ended 31st March, 2024 ₹ 24,000 was divided between the partners in their profit sharing ratio, but interest on capital at 5% p.a. and on drawings at 6% p.a. was inadvertenty ignored. Give the necessary adjustment entry for the adjustment of interest. Interest on drawings may be calculated on an average basis for 6 months.
Ans:
B’s Capital A/c Dr. 45 To A’s Capital A/c 45
Anurag Pathak Changed status to publish June 13, 2024
