Mannu and Shrishti are partners in a firm sharing profit in the ratio of 3 : 2
Mannu and Shrishti are partners in a firm sharing profit in the ratio of 3 : 2. Following is the balance sheet of the firm as on March 31, 2017.
Balance Sheet as at March 31, 2017
| Liabilities | ₹ | Assets | ₹ |
|
Mannu’s Capital Shrishti’s Capital |
30,000 10,000 |
Drawings: Mannu Shrishti Other Assets |
4,000 2,000 34,000 |
| Â | 40,000 | Â | 40,000 |
Profit for the year ended March, 31, 2017 was ₹ 5,000 which was divided in the agreed ratio, but interest @ 5% p.a. on capital and @ 5% p.a. on drawings was omitted. Adjust interest on drawings on an average basis for 6 months. Give the adjustment entry.
[Ans : Mannu (Cr.) ₹ 288 and Shrishti (Dr.) ₹ 288] 
Anurag Pathak Changed status to publish March 25, 2024
