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12th | Accounting For Partnership Firms Fundamentals | Question No.  41 To 45 | Solution 2022-2023

Double Entry Book Keeping Ts Grewal Vol. 1 2019 Solutions for Class 12 Commerce ACCOUNTANCY Chapter 2 - Accounting For Partnership Firms Fundamentals

Question 41:


Calculate interest on drawings of Ashok @ 10% p.a. for the year ended 31st March, 2022, in each of the following alternative cases:
Case 1.  If he withdrew
 ` 7,500 in the beginning of each quarter.
Case 2.  If he withdrew
 ` 7,500 at the end of each quarter.
Case 3.  If he withdrew
 ` 7,500 during the middle of each quarter.

 

Answer:


Total Drawings = 7,500 × 4 = ` 30,000

Interest Rate = 10% p.a.

Case (a)

When equal amount is withdrawn in the beginning of each quarter, the interest on drawings is calculated for an average period of 7.5 months

Interest on drawing= total drawing×Rate of drawing/100×Average month / 12

Interest on Ashok’s drawing =30,000×10/100×7.5/12  =1,875

Case (b)

When equal amount is withdrawn at the end of each quarter, the interest on drawings is calculated for an average period of 4.5 months

Interest on drawing= total drawing×Rate of drawing/100×Average month / 12

Interest on Ashok’s drawing =30,000×10/100×4.5/12 =1,125

Case (c) 

When equal amount is withdrawn in the middle of each quarter, the interest on drawings is calculated for an average period of 6 months

Interest on drawing= total drawing×Rate of drawing/100×Average month / 12

Interest on Ashok’s drawing =30,000×10/100×6/12  =1,500

 

Question 42: The capital accounts of Tisha and Divya showed credit balances of 10,00,000 and 7,50,000 respectively after taking into account drawings and net profit of `5,00,000. The drawings of the partners during


the year 2021-22 were:

(i) Tisha withdrew 25,000 at the end of each quarter.

(ii) Divya's drawings were:

31st May, 2021

`20,000

1st November, 2021

`17,500

1st February, 2022

`12,500

Calculate interest on partners' capitals@ 10% p.a. and interest on partners' drawings@ 6% p.a. for the year ended 31st March, 2022.

 

Answer:


Calculation of Interest on Drawings

Tisha’s Total Drawings= 25,000×4=1,00,000

Tisha’s Interest on Drawings= 1,00,000×3/100×4.5/12=2,250

 

Divya’s Interest on Drawings

Date of Drawings

Drawings

Time left after Drawing

Product

31-5-2021

20,000

10

2,00,000

1-11-2021

17,500

5

87,500

1-2-2022

12,500

2

25,000

 

3,12,500

 

Divya’s Interest on Drawings = 3,12,500×6/10×1/12=1,563

 

Calculation of Interest on Capital

 

Calculation of opening Capital

 

Tisha

Divya

Closing Capital

Add; Drawings

10,00,000

1,00,000

7,50,000

50,000

 

Less: Profit

11,00,000

2,50,000

8,00,000

2,50,000

Opening Capital

8,50,000

5,50,000

 

Tisha’s Interest on Capital = 8,50,000×10/100=85,000

Divya’s Interest on Capital = 5,50,000×10/100=55,000

 

 

Question 43: Calculate the amount of Manan's monthly drawings for the year ended 31st March, 2022, in the following alternative cases when Partnership Deed allows interest on drawings @ 10% p.a.:


(i) If interest on drawings is 1,950 and he withdrew a fixed amount in the beginning of each month.

(ii) If interest on drawings is F 2,400 and he withdrew a fixed amount in the middle of each month.

(iii) If interest on drawings is 2,750 and he withdrew a fixed amount at the end of each month.

 

Answer:


 

(i) If interest on drawings is 1,950 and he withdrew a fixed amount in the beginning of each month.

Interest on drawings @ 10% p.a.

Average month 6.5

Annual amount of drawings = (1,950×12×100) ÷ (6.5×10) = 36,000

Monthly amount of drawings = 36,000 ÷ 12 = 3000

(ii) If interest on drawings is F 2,400 and he withdrew a fixed amount in the middle of each month.

Interest on drawings @ 10% p.a.

Average month 6

Annual amount of drawings = (2,400 ×12×100) ÷ (6.5×10) =48,000

Monthly amount of drawings = 48,000 ÷ 12 = 4,000

(iii) If interest on drawings is 2,750 and he withdrew a fixed amount at the end of each month.

Interest on drawings @ 10% p.a.

Average month 5.5

Annual amount of drawings = (2,750 ×12×100) ÷ (5.5×10) =60,000

Monthly amount of drawings = 60,000 ÷ 12 = 5,000

 

 

Question 44: Calculate the amount of Shiv's quarterly drawings for the year ended 31st March, 2022, in the following alternative cases when Partnership Deed allows interest on drawings @ 12% p.a.:


(i) If interest on drawings is F 1,500 and he withdrew a fixed amount in the beginning of each quarter.

(ii) If interest on drawings is 1,200 and he withdrew a fixed amount in the middle of each quarter.

(iii) If interest on drawings is 900 and he withdrew a fixed amount at the end of each quarter.

 

Answer:


 

(i) If interest on drawings is ` 1,500 and he withdrew a fixed amount in the beginning of each quarter.

Interest on drawings @ 12% p.a.

Average month 7.5

Annual amount of drawings = (1,500 ×12×100) ÷ (7.5×12) =20,000

Quarterly amount of drawings = 20,000 ÷ 4 = 5,000

 

(ii) If interest on drawings is 1,200 and he withdrew a fixed amount in the middle of each quarter.

Interest on drawings @ 12% p.a.

Average month 6

Annual amount of drawings = (1,200 ×12×100) ÷ (6×12) =20,000

Quarterly amount of drawings = 20,000 ÷ 4 = 5,000

 

(iii) If interest on drawings is 900 and he withdrew a fixed amount at the end of each quarter.

Interest on drawings @ 12% p.a.

Average month 4.5

Annual amount of drawings = (900 ×12×100) ÷ (4.5×12) =20,000

Quarterly amount of drawings = 20,000 ÷ 4 = 5,000

 

Question 45:


Amit and Vijay started a partnership business on 1st April, 2021. Their capital contributions were  ` 2,00,000 and  ` 1,50,000 respectively. The Partnership Deed provided as follows:
(a) Interest on capital be allowed @ 10% p.a.
(b) Amit to get a salary of
 ` 2,000 per month and Vijay  ` 3,000 per month.
(c) Profits are to be shared in the ratio of 3 : 2.
Net profit for the year ended 31st March, 2022 was
 ` 2,16,000. Interest on drawings amounted to  ` 2,200 for Amit and  ` 2,500 for Vijay.
Prepare Profit and Loss Appropriation Account.

Answer:


Profit and Loss Appropriation Account
for the year ended 31st March, 2022

Dr.

 

 

Cr.

Particulars

 ( `)

Particulars

 ( `)

Interest on Capital:

 

Profit and Loss A/c (Net Profit)

2,16,000

Amit’s Capital A/c

20,000

 

Interest on Drawings A/c:

 

Vijay’s Capital A/c

15,000

35,000

Amit’s Capital A/c

2,200

 

Salary to:

 

Vijay’s Capital A/c

2,500

4,700

Amit (2,000 × 12)

24,000

 

 

 

Vijay (3,000 × 12)

36,000

60,000

 

 

Profit transferred to:

 

 

 

Amit’s Capital A/c

75,420

 

 

 

Vijay’s Capital A/c

50,280

1,25,700

 

 

 

2,20,700

 

2,20,700

 

 

 

 


Working Notes:

WN 1 Calculation of Interest on Capital

Interest on Amit’s Capital=2,00,000×10/100=20,000

Interest on Vijay’s Capital=1,50,000×10/100=15,000

 


WN 2 Calculation of Profit Share of each Partner

Divisible Profit = 2,16,000 + 4,700 - ` 35,000 - ` 60,000 = ` 1, 25,700

Profit sharing ratio = 3 : 2

Amit’s profit share=1,25,700×3/5=75,420

Vijay’s profit share=1,25,700×2/5=50,280

 

Ts Grewal Solution 2022-2023

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Class 12 / Volume – I

Chapter 1 – Accounting For Partnership Firms Fundamentals

 

Question No. 1 To 5
Question No. 5 To 10
Question No. 11 To 15
Question No. 16 To 20
Question No. 21 To 25
Question No. 26 To 30
Question No. 31 To 35
Question No. 36 To 40
Question No. 41 To 45
Question No. 46 To 50
Question No. 51 To 55

Question No. 56 To 60

Question No. 61 To 65
Question No. 66 To 70
Question No. 71 To 75

Question No. 76 To 80
Question No. 81 To 85
Question No. 86 To 88

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