Answered: Calculate interest on Capital of each…

Business

Accounting

Calculate interest on Capital of each Partner as 31.3.17 Please avoid solutions in image thnku

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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Concept explainers

Bookkeeping

Bookkeeping is the process of recording the financial transactions of a company on a regular basis. With the process of bookkeeping, companies can track important financial information that helps management in making crucial decisions.

Question

A and B are two partners. They
agreed to allow interest on capital
@5% per annum. Capital accounts
as 1.4.16 were A 20,000 RS and B
15,000 rs
A introduced further capital of rs
5000 on 1.10.16 and B introduced rs
3000 on 1.10.16
Calculate interest on Capital of each
Partner as 31.3.17

Please avoid solutions in image thnku

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