Bat and Ball are partners sharing the profits in the ratio of 2 : 3 with capitals of ₹ 1,20,000 and ₹ 60,000 respectively. On 1st October 2022, Bat and Ball gave loans of ₹ 2,40,000 and ₹ 1,20,000 respectively to the firm. Bat had allowed the firm to use his property for business for a monthly rent of ₹ 5,000. Loss for the year ended 31st March 2023 before rent and interest amounted to ₹ 9,000. Show distribution of profit/Loss.

[Hint: Interest on Loan by partner and Rent are charged against profit.]

Anurag Pathak Changed status to publish April 10, 2024
Add a Comment