Question 11;
Nirmal and Pawan are partners
sharing profits in the ratio of 3 :2. The firm had
given loan to Pawan of `5,00,000 on 1st April, 2022.
Interest was to be charged @ 10% p.a. The firm took loan of `2,00,000 from Nirmal on 1st October, 2022. Before giving effect to the
above, the firm incurred a loss of `10,000
for the year ended 31st March, 2023.
Determine the amount to be
transferred to Profit and Loss Appropriation Account.
Answer;
|
Profit and Loss Account year ended 31 March, 2023 |
|||
|
Particulars |
` |
Particulars |
` |
|
To Net Loss To interest on loan (Nirmal) 2,00,000×6/100×6/12 To Net Profit transferred- (Net Profit transferred to
P&L Appropriation a/c) |
10,000 6,000 34,000 |
by interest on loan (Pawan) 5,00,000×10/100 |
50,000 |
|
|
50,000 |
|
50,000 |
Question 12;
Ankit, Bhanu and Charu are partners in a firm sharing profits and losses
equally with capital of
`2,50,000
each. On 1st October, 2022, Ankit and Bhanu gave loans of `2,50,000 each to the firm whereas Charu
took a loan of `1,00,000 from the firm on the same date. It was agreed
among the partners that Charu will be charged
Interest @ 6% pa. Interest on loan from partners was paid on 10th April, 2023.The firm closes its books on 31st March each
year.
Pass the Journal entries in
the books of the firm for the year ended 31st March, 2023.
Answer;
|
Date |
Particulars |
|
L.F. |
Dr.` |
Cr. ` |
|
31 March |
Interest on loan A/c
To Akhil’s
loan A/c To Bhanu’s
loan A/c (Being interest on loan provided @ 6% p.a. on 2,50,000 for six month) |
Dr. Dr. |
|
15,000 3,000 |
7,500 7,500 3,000 |
|
Charu’s capital A/c To Interest
on loan A/c (Being interest on loan allowed to Charu@ 6%
p.a. on 1,00,000 for six month) |
|||||
|
|
|
|
|
18,000 |
18,000 |
Question 13:Atul, Jetha and Tarak are partners sharing profits equally. Jetha was given loan by the firm on 1st July, 2022 of Rs. 6,00,000. Books are closed on 31st March. What Journal
entries will be passed if;
(a) Rate of interest is not
agreed; and
(b) Rate of interest to be
charged is agreed @ 10% p.a?
Answer:
Case-A: No entry will be passed, in the absence of agreement,
interest will not be charged on Loan to Partner.
Case-B
|
JOURNAL |
|||||
|
Date |
Particulars |
|
LF |
Dr. (Rs.) |
Cr. (Rs.) |
|
2023 |
|
|
|
|
|
|
March 31 |
Jesha's Capital A/c |
Dr. |
|
45,000 |
|
|
|
To Interest on Loan to
Partner A/c |
|
|
|
45,000 |
|
|
(Interest charged for nine
months up to March, 2023) |
|
|
|
|
|
|
|
|
|
||
|
March 31 |
Interest on Loan to Partner
A/c |
Dr. |
|
45,000 |
|
|
|
To Profit & Loss A/c |
|
|
|
45,000 |
|
|
(Interest on Loan to Prem transferred to the credit of Profit & Loss
Account) |
|
|
|
|
|
|
|
|
|
|
|
Working notes:
Total interest on loan for 9
month = 6,00,000×10× 9/100 × 12= 45,000
Question 14: Parul, Paresh and Rahul are partners in a firm. Firm gave loan to Rahul on 1st February, 2022 of 6,00,000.
Interest was agreed to be charged @ 6% p.a. Interest was paid by cheque up to February, 2023 by Rahul
on 5th March, 2023 and balance was yet to be paid by him.
Pass the Journal entries for
interest on loan to partner.
Answer:
|
JOURNAL |
|||||
|
Date |
Particulars |
|
LF |
Dr. (Rs.) |
Cr. (Rs.) |
|
2023 |
Bank Ac |
Dr. |
|
3,000 |
|
|
March 5 |
To Interest on Loan to
Partner A/c |
|
|
|
3,000 |
|
|
(Interest paid by Rahul for the
months of February, 2023) |
|
|
|
|
|
March 31 |
Rahul's Capital A/c |
Dr. |
|
3,000 |
|
|
|
To Interest on Loan to
Partner A/c |
|
|
|
3,000 |
|
|
(Interest for March 2023
charged) |
|
|
|
|
|
March 31 |
Interest on Loan to Partner
A/c |
Dr. |
|
6,000 |
|
|
|
To Profit& Loss A/c |
|
|
|
6,000 |
|
|
(Interest on Loan to Rahul transferred to the credit of Profit & Loss Account) |
|
|
|
|
|
|
|
|
|
|
|
Working notes:
*Interest for 2 month = 6,00,000×2 × 6/100×12=6000
*Interest for month of
February, which is to be paid by cheque = 6000 × 1 /
2= 3,000
43. B and C are partners
sharing profits equally. C regularly withdrew 5,000 per month in the beginning
of the month for si× months ended 30th September,
2022. Calculate interest on drawings @ 12% p.a. for the year ended 31st March,
2023.
Answer:
Monthly drawing = 5,000
Total drawing = 30,000
Interest on drawing=
30000×12× 9.5/100×12= 2,850
Average month = 12 + 7 / 2=
9.5
Question 15:
Vinod and Mohan are partners. Vinod 's Capital is ` 1,00,000 and Mohan 's Capital is `
60,000. Interest on capital is payable @ 6% p.a. Mohan is entitled to a salary
of ` 3,000 per month. Profit for the current year before
interest and salary to Mohan is `
80,000.
Prepare Profit and Loss Appropriation Account.
Answer:
|
Profit and Loss Appropriation Account |
||||
|
Dr. |
|
|
Cr. |
|
|
Particulars |
` |
Particulars |
` |
|
|
Interest on Capital: |
|
Profit and Loss A/c (Net
Profit) |
80,000 |
|
|
Vinod’s Capital A/c |
6,000 |
|
|
|
|
Mohan’s Capital A/c |
3,600 |
9,600 |
|
|
|
Salary to B (` 3,000 × 12) |
36,000 |
|
|
|
|
Profit transferred to: |
|
|
|
|
|
Vinod’s Capital A/c |
17,200 |
|
|
|
|
Mohan’s Capital A/c |
17,200 |
34,400 |
|
|
|
|
80,000 |
|
80,000 |
|
|
|
|
|
|
|
Working Notes:
WN1Calculation
of Interest on Capital
Interest on Vinod’s loan=1,00,000×6/100×6/12=6,000
Interest on Mohan's
loan=60,000×6/100×6/12=3,600
WN 2Calculation of
Profit Share of each Partner
Divisible Profit = 80,000 –
9,600 – 36,000 = 34,400
Profit share of Vinod and Mohan =34,400×1/2=17,200
Ts Grewal Solution 2023-2024
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Class 12 / Volume – I