Mina, Shina, and Tina are in partnership and during the year ended 31st March 2023 earn a profit of ₹ 1,04,000. Mina and Shina are to get 5% p.a. interest on their capitals of ₹ 1,20,000 and ₹ 2,00,000 respectively while Tina, who does not have capital in the firm, is entitled to a salary of ₹ 25,000 p.a.

Tina is also entitled to a commission of 5% on the profits after charging interest, salary, and commission.

It is further agreed that the balance profit should be appropriated as to 20% for Charity Fund and the balance to be shared by the partners.

Prepare Profit and Loss Appropriation Account for the year ended 31st March 2023.

Anurag Pathak Changed status to publish April 20, 2024
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