Advertisements
Advertisements
Question
On 1st April, 2023, the capitals of Monika and Shreya were ₹ 4,00,000 and ₹ 2,00,000, respectively. They divided profits in the ratio of 3 : 2. Profits for the year ended 31st March, 2024, were ₹ 3,00,000, which have been duly distributed among the partners, but the following transactions were not passed through the books:
- Interest on capitals @ 8% p.a.
- Interest on drawings of Monika ₹ 8,000.
- Monika is to be paid a salary of ₹ 15,000 per quarter.
In the adjustment entry:
Options
Cr. Monika ₹ 24,000 and Dr. Shreya ₹ 24,000
Dr. Monika ₹ 24,000 and Cr. Shreya ₹ 24,000
Cr. Monika ₹ 6,000 and Dr. Shreya ₹ 6,000
Dr. Monika ₹ 6,000 and Cr. Shreya ₹ 6,000
MCQ
Advertisements
Solution
Cr. Monika ₹ 24,000 and Dr. Shreya ₹ 24,000
Explanation:
Calculate interest on capital:
Interest on Monika’s capital = `4,00,000 xx 8/100`
= ₹ 32,000
Interest on Shreya’s capital = `2,00,000 xx 8/100`
= ₹ 16,000
| Particulars | Monika (₹) | Shreya (₹) | Total (₹) |
| Interest on capital (Cr.) | 32,000 | 16,000 | 48,000 |
| Salary to Monika (15,000 × 4) | 60,000 | − | 60,000 |
| 92,000 | 16,000 | 1,08,000 | |
| Less: Interest on drawings (Dr.) | 8,000 | − | − |
| (Cr.) | 84,000 | 16,000 | 1,00,000 |
| Division of the firm’s loss of ₹ 1,00,000 in 3 : 2 (Dr.) | 60,000 | 40,000 | 1,00,000 |
| (Cr.) 24,000 | (Dr.) 24,000 | − |
shaalaa.com
Is there an error in this question or solution?
