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The capitals of Madan, Krishna, and Ram as on 31st March 2023 were ₹ 30,000, ₹ 1,10,000, and ₹ 2,20,000 respectively.

The profit of ₹ 60,000 for the year 2022-23 was distributed in the ratio of 4 : 1 : 1 after allowing interest on capital @ 10% p.a.

During the year partner withdrew ₹ 10,000 per month. The Partnership Deed was silent as to profit sharing ratio but provided for interest on capital @ 12%.

Pass the necessary adjusting Journal entry.

Anurag Pathak Changed status to publish April 15, 2023
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