TS Grewal Solutions (2025 – 26) – Accounting for partnership firm – Fundamentals
51 :- Amit, Binita, and Charu are the three partners. On 1st April 2024, their capitals stood as: Amit Rs 1,00,000, Binita ₹Rs 2,00,000, and Charu Rs 3,00,000. It was decided that:
(a)They would receive interest on Capitals @ 5% p.a.,
(b) Amit would get a salary of Rs 10,000 per month,
(c) Binita would receive commission @ 5% of net profit after deduction of commission, and
(d) 10% of the net profit would be transferred to the General Reserve.
Before the above items were taken into account, profit for the year ended 31st March, 2024 was ₹ Rs 5,00,000.
Prepare the Profit and Loss Appropriation Account and the Capital Accounts of the Partner.
52 :- Sajal and Kajal are partners sharing profits and losses in the ratio of 2:1. On 1st April,2024 their capitals were: Sajal – Rs 5,00,000 and Kajal – Rs 4,00,000
Prepare profit and loss appropriation account and the partner’s capital accounts for the year ended 31st March, 2025 from the following information:
- Interest on capital is to be allowed @5% p.a.
- Interest on the loan advanced by Kajal for the complete year, the amount of loan being Rs 3,00,000
- Interest on partner’s drawings @6% pa. Drawings: Sajal Rs 1,00,000 and Kajal Rs 80,000
- 10% of the divisible profits is to be transferred to general rese
Profit, before giving effect to the above, for the year ended 31st March, 2024 is Rs 7,02,600.
53 :- Ali and Bahadur are partners in a firm sharing profits and losses as Ali 70% and Bahadur 30%. Their respective capitals as at 1st April, 2024, stands as Ali Rs 2,50,000 and Bahadur Rs 2,00,000. The partners are allowed interest on capitals @5% pa. drawings of the partners during the year ended 31st March, 2025 were Rs 35,000 and Rs 25,000 respectively. Profit for the year, before allowing interest on capital and yearly salary of bahadur Rs 30,000 was Rs 4,00,000, 10% of divisible profits is to be transferred to reserve.
Prepare partner’s current accounts and capital accounts recording the above transactions
Question 1 to 5 (Partnership Deed)
Question 6 to 8 (Interest on loan by partner to the firm)
Question 9 – 13 (Interest on Loan to the firm by Partner and Loan by the Firm to Partner)
Question 14 – 19 (Profit & Loss Appropriation Account)
Question 20 – 22 (Fixed Capital)
Question 23 to 25 (Fluctuating capital)
Question 26 (When interest on capital is an appropriation and profits are inadequate)
Question 27 to 31 (Calculation of interest on partners capital)
Question 32 to 35 (Salary or commission to partners)
Question 36 to 41 (Calculation of interest on partners drawings, amount of drawings and rate of interest on drawings)
Question 42 to 46 (Calculation of interest on partners drawings, amount of drawings and rate of interest on drawings)
Question 47 to 50 (Profit and loss appropriation account and partner’s capital account)
Question 51 to 53 (Transfer of profits to reserve)
Question 54 to 55 (Appropriations more than available profits)
Question 56 – (Adjusting and transfer entries)
Question 57 to 61 (Adjustments for incorrect appropriations in the past [past adjustments])
Question 62 to 66 (Adjustments for incorrect appropriations in the past)
Question 67 to 72 (Adjustments for incorrect appropriations in the past)
Question 73 to 75 (Adjustments for incorrect appropriations in the past)
Question 76 to 80 (Guarantee of minimum profit to a partner)
Question 81 to 85 (Guarantee of minimum profit to a partner)
Question 86 to 89 (Guarantee of minimum profits to a partner)
Question 90 – 91 (Minimum earnings guaranteed by a partner)