CBSE > Class 12 > Accountancy | CBSE Board | Homework Help

x and y enter into partnership on 1st April 2016 and contributed 2 00000 and 150000 respectively as their capitals .on 1st October 2016 x provide rupees 50000 as a loan to firm. as per the provision of the partnership deed 20% of profit before charging interest on drawing but after making appropriation to be transferred to general reserve. 2) interest on capital at 12% per annum and interest on drawing 10% per annum 3) x to get monthly salary rupees 5000 and Y to get salary of rupees 22500 per quarter .4) x is enlighted to commission of 5% on sales sales for the year were rupees 350000 profit 5)profit and loss to be shared in the ratio of their capital contribution upto rupees 175000 and above rupees 175000 equally now the profit for the year ended 31st March 2017 before providing for any interest was rupees 461000. The drawing of x and y was rupees 100000 and rupees 125000 respectively. now my question is how can we calculate it interest on loan which provided by x to the firm because the percentage on which we calculate interest on drawing is not given so my question is how can we how could we calculate interest on loan I hope you can answer fast as possible as thank you

Posted by Gunja Morya 5 years, 7 months ago

CBSE > Class 12 > Accountancy

2 answers

Gunja Morya 5 years, 7 months ago

Thanks sir

0Thank You

Indrajeet Singh Arora 5 years, 7 months ago

According to provisions that are applicable in absence of partnership deed there is tratement that if a partner has given loan to the firm and interst rate if not specified then it is to be charged at the rate of 6 percent per annum . Now you have to calculate 6 percent of loan amount and deduct it from the balance of profit and loss transsferred to the credit side of profit and loss appropriation A/c. Hope you understood the concept.

2Thank You

ANSWER

Rent is an charge against profit in case of partnership and hence it is to be debited in Profit and loss A/c instead of Profit and loss appropriation A/c .

Saloni Jain 5 years, 7 months ago

If it's a general donation then in receipts and payments account and income and expenditure account, or if it's a special donation then it will only come in receipts and payments account

1Thank You

As per accounting view point partnership have separate legal entity. However as per legal view point partnership does not have separate legal entity because in case of bankrupty of a partnership firm private estates of the partner would be liable for meeting firms debts .

Vaibhav Kansal 5 years, 7 months ago

(a)When date of drawings in not given. Interest on drawing = total drawing×rate/100×6/12.. Note = interest is calculated for a period of six months.. (b)when date of drawings is given. Interest on drawings =total drawing ×rate /100× time left after drawings/12...

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