Ritu and Gurpreet are partners in a firm. On 1st April, 2017, their capitals were Rs....

 

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Ritu and Gurpreet are partners in a firm. On 1st April, 2017, their capitals were Rs. 2,00,000 and Rs. 3,00,000 respectively. They decided to adopt a school, in the locality and develop play ground, instail drinking water facility and develop toilets. They decided to earmark 10% of the net profit every year for the above purpose. The Partnership Deed provides for the following: (a) Ritu and Gurpreet each will get salary of Rs. 7,500 per month. (b) Interest on capital is to be allowed. @ 5% p.a. (c) Charge interest on drawings @ 10% p.a. Interest on Drawings was computed as Rs. 7,500 and Rs. 10,000 respectively for Ritu and Gurpreet. Profit of the firm for the year ended 31st March, 2018 was Rs. 10,00,000. Identify any four values that were kept in mind by Ritu and Gurpreet. Also, prepare Profit and Loss Appropriation Account of the firm for the year ended 31st March, 2018. Ritu and Gurpreet are partners in a firm. On 1st April, 2017, their capitals were Rs. 2,00,000 and Rs. 3,00,000 respectively. They decided to adopt a school, in the locality and develop play ground, instail drinking water facility and develop toilets. They decided to earmark 10% of the net profit every year for the above purpose. The Partnership Deed provides for the following: (a) Ritu and Gurpreet each will get salary of Rs. 7,500 per month. (b) Interest on capital is to be allowed. @ 5% p.a. (c) Charge interest on drawings @ 10% p.a. Interest on Drawings was computed as Rs. 7,500 and Rs. 10,000 respectively for Ritu and Gurpreet. Profit of the firm for the year ended 31st March, 2018 was Rs. 10,00,000. Identify any four values that were kept in mind by Ritu and Gurpreet. Also, prepare Profit and Loss Appropriation Account of the firm for the year ended 31st March, 2018.

Answer rating: 100% (QA)

1 Discharging duty towards Nation 2 Concern towards health of Children 3 Encouraging educati... View the full answer