QUESTION: 78
Atul, Bipul and Charu are partners sharing profits equally. Bipul is guaranteed minimum profit of ₹ 200,000 per annum Salary is payable to Bipul of ₹10,000 per month. Net Profit for the year ended 31st March, 2022 is ₹ 6,60,000.
Prepare Profit & Loss Appropriation Account for the year.
Answer:
![](https://i0.wp.com/webcomm.in/wp-content/uploads/2022/TS-Grewal-Book/TS-Grewal-Book-Volume-1-solutions-of-Class-12-Accountancy-2022-23-Edition/Accounting-for-Partnership-Firms-Fundamentals-2022-23-solutions/TS-Grewal%27s-Book-solution-of-Partnership-Firm-2022-23-78.png?w=1320&ssl=1)
Working Note:
Profit for the year = 6,60,000
Less: Salary = 120,000
Distributable Profit = 5,40,000 ₹
Less: Charu’s Share In Profit = 2,00,000
Remaining Distributable Profit = 3,40,000 ₹
Profit Distributable between equally among remaining partners:
Atul: 340000×1/2 = 170000 ₹
Discover more from WebComm.in
Subscribe to get the latest posts to your email.
Pingback: T.S. Grewal's Accountancy Solutions 12th Class - WebComm.in