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At the end of the year, the share of profit eligible for partners after all adjustments will be:

At the end of the year, the share of profit eligible for partners after all adjustments will be:

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Mazin. Mansoor and Malik started a partnership firm on January 1, 2019. They contributed RO. 50.000, RO. 40,000 and RO. 30,000 respectively as their capitals and decided to share profits in the ratio of 3:2:1. The partnership deed provided that Mazin is to be paid salary of RO. 12000 p.a. and Mansoor commission of RO. 2,500 every 6 months. it also provided that interest on capitai be alowed © 6% pa. The drawings for the year were: Mazin RO. 6,000, Mansoor RO. 4.000 and Malik RO. 2.000. Interest on drawings was RO. 270 for Mazin, RO.180 for Mansoor and RO. 90 for Malik. The net amount of profit as per the profit and loss account for the year ended 2019 was RO. 35,660 Question: Prepare the necessary accounting entries, the profit and loss appropriation account and the partners apital accounts. Based on the above information answer the following 3' questions (Do not upload any documents in the moodle) At the end of the year, the share of profit eligible for partners after all adjustments will be: O a. Mazin: RO 12000, Mansoor. RO 8000, Malik RO 4000 b. Mazin: RO 3000, Mansoor: RO 2000, Malik RO 1000 e. Mazin: RO 6000, Mansoor RO 6000, Malik RO 2000 d. Mazin: RO 9000, Mansoor. RO 6000, Malik RO 3000 Clear my choice The balance of capital for partner Mansoor at the end of the year will be O a RO 42720 O b. RO 42270 Oc. RO 47220 d. RO 40720 Clear my choice
Transcribed Image Text:Mazin. Mansoor and Malik started a partnership firm on January 1, 2019. They contributed RO. 50.000, RO. 40,000 and RO. 30,000 respectively as their capitals and decided to share profits in the ratio of 3:2:1. The partnership deed provided that Mazin is to be paid salary of RO. 12000 p.a. and Mansoor commission of RO. 2,500 every 6 months. it also provided that interest on capitai be alowed © 6% pa. The drawings for the year were: Mazin RO. 6,000, Mansoor RO. 4.000 and Malik RO. 2.000. Interest on drawings was RO. 270 for Mazin, RO.180 for Mansoor and RO. 90 for Malik. The net amount of profit as per the profit and loss account for the year ended 2019 was RO. 35,660 Question: Prepare the necessary accounting entries, the profit and loss appropriation account and the partners apital accounts. Based on the above information answer the following 3' questions (Do not upload any documents in the moodle) At the end of the year, the share of profit eligible for partners after all adjustments will be: O a. Mazin: RO 12000, Mansoor. RO 8000, Malik RO 4000 b. Mazin: RO 3000, Mansoor: RO 2000, Malik RO 1000 e. Mazin: RO 6000, Mansoor RO 6000, Malik RO 2000 d. Mazin: RO 9000, Mansoor. RO 6000, Malik RO 3000 Clear my choice The balance of capital for partner Mansoor at the end of the year will be O a RO 42720 O b. RO 42270 Oc. RO 47220 d. RO 40720 Clear my choice
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