Q 18. 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 boo

The question seems to be incomplete. However, based on the given information, here's how you can make the necessary adjustments:

1. Deduct the salaries of A and B from the total profit. Each is entitled to a salary of ₹1,500 per annum, so the total salary expense is ₹3,000. Subtract this from the total profit of ₹90,000 to get ₹87,000.

2. Deduct B's commission from the adjusted profit. B is entitled to a commission of ₹4,500, so subtract this from ₹87,000 to get ₹82,500.

3. Ensure A's guaranteed minimum profit. B and C have guaranteed a minimum profit of ₹35,000 per annum to A. If A's share of the profit (which is 1/2 of the total, based on the profit-sharing ratio of 3:2:1) is less than this, you'll need to adjust the profits of B and C downwards.

4. Adjust the profit-sharing ratio. The profits are to be shared in the ratio of 3:3:2, not 3:2:1. This means that for every ₹8 of profit, ₹3 goes to A, ₹3 goes to B, and ₹2 goes to C.

The journal entries for these adjustments would look something like this:

• Debit Profit and Loss Appropriation Account, credit A's Capital Account and B's Capital Account with ₹1,500 each (for the salaries)
• Debit Profit and Loss Appropriation Account, credit B's Capital Account with ₹4,500 (for the commission)
• If necessary, debit B's Capital Account and C's Capital Account, credit A's Capital Account (to ensure A's minimum profit)
• Debit A's Capital Account, B's Capital Account, and C's Capital Account with their original shares of the profit, credit A's Capital Account, B's Capital Account, and C's Capital Account with their adjusted shares of the profit (to adjust the profit-sharing ratio)

Please note that the exact amounts for the last two entries depend on the specific numbers, which are not provided in the question.