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Question
A, B and C are partners, their partnership deed provides for interest on drawings at 8% per annum. B withdrew a fixed amount in the middle of every month, and his interest on drawings amounted to ₹ 4,800 at the end of the year. What was the amount of his monthly drawings?
Options
₹ 10,000
₹ 5,000
₹ 1,20,000
₹ 48,000
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Solution
₹ 10,000
Explanation:
Interest on Drawings = `"Total Drawings" xx "Rate"/100 xx 6/12`
4,800 = `"Total Drawings" xx 8/100 xx 6/12`
Total Drawings = `(4,800 xx 100 xx 12)/(8 xx 6)`
= `(57,60,000)/48`
= 1,20,000
The amount of monthly drawings is determined by dividing the total drawings by the number of months in a year.
Monthly Drawings = `"Total Drawings"/12`
= `(1,20,000)/12`
= 10,000
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Richa and Anmol are partners sharing profits in the ratio of 3:2 with capitals of ₹ 2,50,000 and ₹ 1,50,000 respectively. Interest on capital is agreed @ 6% p.a. Anmol is to be allowed an annual salary of 12,500. During the year ended 31st March 2023, the profits of the year prior to calculation of interest on capital but after charging Anmol’s salary amounted to ₹ 62,000. A provision of 5% of this profit is to be made in respect of manager’s commission.
Following is their Profit & Loss Appropriation Account
| Particulars | (₹) | Particulars | (₹) |
| To Interest on Capital | By Profit & loss account (After manager’s commission) | -(2)- | |
| Richa | ______ | ||
| Anmol | ______ | ||
| To Anmol’s Salary a/c | 12,500 | ||
| To Profit transferred to: Richa’s Capital A/C (1) | -(1)- | ||
| Anmol’s Capital A/c | ______ | ||
| ______ | ______ |
The amount to be reflected in blank (2) will be:
