Sandeep, Maheep and Amandeep were partners in a firm sharing profits in the ratio of 2: 2: 1. The firmcloses its books on 31st March every year. On 30th June, 2020Maheepdied. The partnership deedprovided that on the death of a partner his executors will be entitled to the following:a) Balance in his capital account which amounted to ₹1,15,000and interest on capital till date ofdeath which amounted to ₹5,000.b) His share in the profits of the firm till the date of his death amounted to ₹20,000.c) His share in the goodwill of the firm. The goodwill of the firm on Maheep’s death was valued at₹ 1,50,000.d) Loan to Maheep amounted ₹ 20,000.It was agreed that the amount will be paid to his executor in three equal yearly instalments w

P and Q were partners in a firm sharing profits in 3:1 ratio. Their respective fixed capitals were10,00,000 and 6,00,000. The partnership deed provided interest on capital @ 12% p.a. Thepartnership deed further provided that interest on capital will be allowed fully even if it will resultinto a loss to the firm. The net profit of the firm for the year ended 31st March, 2018 was 1,50,000.Pass necessary Journal Entries in the books of the firm allowing interest on capital and divisionof profit/loss among the partners.

The partners of a firm distributed the profits for the year ended 31st March, 2019, ₹90,000 in theratio of 3:2:1 without providing for the following adjustments:(i) A and B were entitled to a salary of 1,500 each per annum.(ii) B was entitled to a commission of 4,500.(iii) B and C had guaranteed a minimum profit of 35,000 p.a. to A.(iv) Profits were to be shared in the ratio of 3:3:2.Pass necessary journal entry for the above adjustments in the books of the firm.

Krish and Shail entered into a partnership on 1st October, 2022, with capital contributions of₹ 48,000 and ₹ 36,000 respectively.On 1st January, 2023, Shail advanced a loan of ₹ 12,000 to the firm.The terms of the partnership agreement are as follows:(a) Interest on Capital to be allowed at 12% per annum.(b) Interest on Drawings to be charged @ 10% per annum.(c) Krish to be entitled to a commission of 2% on the turnover.(d) Each partner to get a salary of ₹ 1,200 per month.(v) Profits and losses to be shared in the ratio of 4:3.The turnover for the period under consideration was ₹ 2,00,000.The drawings of the partners were: Krish ₹ 4,000; Shail ₹ 2,000.The profit of the firm for the year ended 31st March, 2023, before providing for any interestwas ₹ 1,10,000.You are required to prepare for the year 2022-23:(i) Profit and Loss Appropriation Account.

Non-cash assets that are not sold in partnership liquidation should be written off as a loss and such loss is divided to the partners equallyGroup of answer choicesTrueFalse

Kavita, Naman and Mansi were partners in a firm sharing profits andlosses in the ratio of 5 : 3 : 2. On 30th September 2023, Kavita died. Thepartnership deed provided that on the date of death, her share of profit tillthe date of death was to be calculated on the basis of average profits of lastyear less ` 20,000.Profits for last 3 years were:Year Ended Profit / Loss (`)31st March 2021 1,40,00031st March 2022 (60,000)31st March 2023 1,60,000Kavita’s share of profit till date of her death was:(a) ` 15,000 (b) ` 20,000(c) ` 40,000 (d) ` 25,000