QA, B and C are partners with food capitals of Rs. 2,00,000 Rs. 1,50,000 and Rs. 1,00,000 respectively . The balance of current accounts on 1st
January, 2004 were A Rs. 10,000 (Cr.): B Rs. 4,000 (Cr.) and C Rs. 3,000 (Dr). A gave a loan to the firm of Rs. 25,000 on 1st July, 2004. The
Partnership deed provided for the following:
(1) Interest on Capital at 686.
( Interest on drawings al 9. Ench partner drew Rs 12.0001 on 1st July, 2004)
(Rs. 25,000 is to be transferred in a Reserve Account
(IM) Profit sharing ratio is 5:32 up to Rs. 80,000 and above Rs. 80,000 equally Net Profit of the firm before above adjustments was Rs. 1,98,360,
PREPARE PROFIT AND LOSS APPROPRIATION ACCOUNT​