Problem 8:- A, B and Crun a business sharing profits and losses in proportion of 2:2:1. On 1s January, 2015 their respective capitals were $ 96,000, $ 90,000 and $ 84,000. On 30th June, 2015 the following was the position : $ Creditors 30,000 Furniture 9,000 Book Debts 1,80,000 Stock 90,000 Cash in hand and at Bank 36,000 The drawings of the partners respectively were $ 12,000, $ 9,000 and $ 6,000 during the half-year. Each partner is entitled to an interest at the rate of 5% p.a. on capital. Interest on drawings was calculated as $ 600 for A, $ 450 in case of B and $ 300 in case of C. You are required to prepare : (1) (11) A Statement of Affairs as on 30th June, 2015. Calculate the profits for the half-year ending on 30th June, 2015 and allocate the same amongst the partners. Also calculate capital of each partner as on 30th June, 2015.

Problem 8:- A, B and Crun a business sharing profits and losses in proportion of 2:2:1. On 1s January, 2015 their respective capitals were $ 96,000, $ 90,000 and $ 84,000. On 30th June, 2015 the following was the position : $ Creditors 30,000 Furniture 9,000 Book Debts 1,80,000 Stock 90,000 Cash in hand and at Bank 36,000 The drawings of the partners respectively were $ 12,000, $ 9,000 and $ 6,000 during the half-year. Each partner is entitled to an interest at the rate of 5% p.a. on capital. Interest on drawings was calculated as $ 600 for A, $ 450 in case of B and $ 300 in case of C. You are required to prepare : (1) (11) A Statement of Affairs as on 30th June, 2015. Calculate the profits for the half-year ending on 30th June, 2015 and allocate the same amongst the partners. Also calculate capital of each partner as on 30th June, 2015.

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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Question

Problem 8:- A, B and Crun a business sharing profits and losses in proportion of 2:2:1. On 1s* January,
2015 their respective capitals were $ 96,000, $ 90,000 and $ 84,000. On 30th June, 2015 the following
was the position :
Creditors
30,000
Furniture
9,000
Book Debts
1,80,000
Stock
90,000
Cash in hand and at Bank
36,000
The drawings of the partners respectively were $ 12,000, $ 9,000 and $ 6,000 during the half-year.
Each partner is entitled to an interest at the rate of 5% p.a. on capital. Interest on drawings was
calculated as $ 600 for A, $ 450 in case of B and $ 300 in case of C.
You are required to prepare :
A Statement of Affairs as on 30th June, 2015.
Calculate the profits for the half-year ending on 30th June, 2015 and allocate the same
amongst the partners. Also calculate capital of each partner as on 30th June, 2015.
(11)

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