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amounted prepare firms profit and loss appropriati

Amounted prepare firms profit and loss appropriation account

Dear Students and Parents,
As the summer holidays approach, we encourage students to make the most of this valuable time. Here are some suggestions to help students stay productive, engaged, and refreshed during the break: 1. Reading: Cultivate a reading habit by exploring a variety of books and newspapers. Whether it's fiction, non-fiction, or educational material, reading enhances vocabulary, knowledge, and imagination.

6. Time Management: Balance leisure with productive activities. Creating a daily schedule can help manage time effectively and ensure that each day is spent meaningfully.

7. Project Work: Start working on school projects or personal projects that interest you. This could be a science experiment, a writing project, or a DIY craft.

1.A and B are equal partners with capitals of ₹2,00,000 and ₹1,00,000 respectively. As per deed,

they are allowed an interest @ 8% on capital. During the year, the firm earned a profit of ₹12,000.

(d)₹6,000 each

2.A partner, Gaurav, withdrew ₹12,000 in the beginning of the each quarter during the year. Interest on

(a)Debit side of Capital A/c (c) Debit side of Current A/c

(b) Credit side of Capital A/c
(d) Credit side of Current A/c

(d)Commission to a partner

5.Net profit before commission has been ₹1,20,000. Partner’s commission is 20% of net profit before

₹40,000 by A. Profit for the year amounted to ₹1,60,000. The profit credited to each partner will be: 1

(a) ₹40,000, ₹80,000, ₹40,000 (c) ₹ 64,000, ₹64,000, ₹32,000

(d)Neither (a) nor (b)

8.The balances of partner’s current account are: 1

9. Nusrat and Sonu were partners in a firm sharing profits in the ratio of 3 : 2. During the year ended 31st March, 2023 Nusrat had withdrawn 15,000. Interest on her drawings amounted to 300. Pass necessary journal entry for charging interest on drawings assuming that the capitals of the partners were fixed. 1

10.A, B and C are partners in a firm. Their capital accounts showed the balance on 1st April 2022 as 20,000; 15,000 and 10,000 respectively. During the year A withdrew 400 at the beginning of the each month. B withdrew 500 at the end of the each month. C withdrew 800 at the middle of the each month for six month ending 30th September 2022. Interest on drawing is to be charged @ 12% p.a. Calculate interest on drawings of each partner. 3


Interest on drawing is to be charged @ 12% p.a. Calculate interest on drawings for the year 31st March 2023.

(ii)Maneesh will be allowed a salary of 400 p.m;

(iii)Girish who manages the sales department will be allowed a commission equal to 10% of the net profits, after allowing Maneesh’s salary;

14.A and B entered into partnership on 1st April, 2022 without any partnership deed. They introduced capitals of 5,00,000 and 3,00,000 respectively. On 31st October, 2022, A advanced 2,00,000 by way of loan to the firm without any agreement as to interest. The profit and loss account for the year ended 31.03.2023 showed a profit 4,30,000 but the partners could not agree upon the amount of interest on loan to be charged and the basis of division of profits. Pass a journal entry for the distribution of profit between the partners. 3

15.A and B are partners in a firm. A is to get a commission of 10% on net profit before charging any commission. B is to be get commission of 10% on net profit after charging all commission. Net profit before charging any commission was 2,20,000. Find out the commission of A and B and prepare Profit and Loss Appropriation A/c. 3

(ii)K and P will be entitled to a monthly salary of 2,000 and 3,000 respectively. The profits for the year ended 31.03.2023 were1,00,300. The drawings of K and P were 40,000 and 50,000 respectively.

Prepare Profit and Loss Appropriation Account and Capital Account of K and P for the year ended 31.3.2023 assuming that the capitals of the partners were: (i) fluctuating. (ii) Fixed. (3+3)

19.X and Y are partners in a firm sharing profits in the ratio of 3 : 2. On 1 April 2022 their fixed capitals were 3,00,000 and 2,50,000 respectively. On 1.7.2022 they decided that their total fixed capital should be

6,00,000. They further decided that this capital should be in their profit sharing ratio. Accordingly, they

Year 2022-23

X ( ) Y ( )

June 30
September 30

20,000 15,000
20,000 25,000

23.Deepti, Tanuja and Renu were partners in a firm trading in hand sanitizer. They were sharing profits in the ratio of 3 : 3 : 2. Their Fixed capitals on 1st April, 2022 were ₹ 2,00,000, ₹ 3,00,000 and ₹ 6,00,000 respectively.

During the COVID pandemic, all partners decided to help the poor daily workers personally. For this, Deepti withdrew ₹ 20,000 from the firm on 15th September, 2022. Tanuja instead of withdrawing cash from the firm took hand sanitizer amounting to ₹ 24,000 from the firm and distributed those to the worker’s families. On the other hand, Renu withdrew ₹ 1,00,000 from her capital on 1st January, 2023 and provided a mobile medical van in the containment Zone.


Following is the Profit and Loss Appropriation Account for the year ended 31st March 2023.


Particulars Amount (₹) Particulars

(............. × 10/100)

To Raju’s Capital A/c

................ ................


1.Assertion: Batman, a partner in a firm with four partners has advanced a loan of ₹ 50,000 to the firm for last six months of the financial year without any agreement. He claims an interest on loan of ₹ 3,000 despite the firm being in loss for the year.

2.A, B and C are in partnership business. A used ₹ 2,00,000 belonging to the firm without the information to other partners and made a profit of ₹ 35,000 by using this amount. Which decision should be taken by the firm to rectify this situation?

(a)A need to return only ₹ 2,00,000 to the firm.

(c)Partner’s Loan Account.

(d)Partner’s Drawings Account.


Read the following hypothetical situation, answer question no. 5 and 6.

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 Amount Particulars

......(1)...... .................

By Profit and loss account
(After manager’s commission)



(a) ₹ 37,200

(b) ₹ 44,700
(d) ₹ 20,940
(b) ₹ 74,500
(d) ₹ 70,775

7.In the absence of an agreement, partners are entitled to:

(i)Profit share in capital ratio.

8.A and B are partners. B draws a fixed amount at the end of every quarter. Interest on drawings is charged @ 15% p.a. At the end of the year interest on B’s drawings amounted to ₹ 9,000. Drawings of B were: 1
(a)₹ 24,000 per quarter.

(b)₹ 40,000 per quarter.

(a) Shyam ₹ 4,800; Gopal ₹ 1,000; Arjun ₹ 2,000.

(b) Shyam ₹ 4,800; Gopal ₹ 1,000; Arjun ₹ 2,000.

(b)Salary of ₹ 12,000 was credited to P instead of Q.

You are required to pass a single journal entry in the beginning of the next year to rectify the above omissions. 3

Assertion: Michael, Mike and Stephen were partners sharing profits and losses in the ratio 3:2:1. Stephen being a partner wants that he should be exempted from sharing the losses in the firm.

Reasoning: According to Partnership Act 1932,”It may be agreed between the partners that one or more of them shall not be liable for losses.”
Alternatives: 1 (a)Both A and R are correct, and R is the correct explanation of A.

3.Stella, Grace and Carol were partners in the firm sharing profits and losses in the ratio 3:2:1. Carol was guaranteed a profit of 15,000 after making all adjustments. Any deficiency is to be borne by Grace. The net profit for the year 31st March 2023 was ₹60,000. Grace will be

by ₹ . 1

(a)Credited, ₹6,500.
(b)Debited, ₹5,000.
(c)Credited, ₹7,500.
(d)Debited, ₹ 2,500.


for the year ended 31st March, 2023



By Profit and Loss A/c




5. The amount to be reflected in blank (2) will be: (a)


6. Which of the following is a right of a partner?

(a)sharing profits and losses with other partners in the agreed ratio (b)inspecting and having a copy of the books of accounts
(c)retiring from the firm without giving proper notice
(d)taking part in the misconduct of the business

8.Ayan, Azan and Aqib are partners carrying on furniture business. Ayan withdrew ₹ 5,000 at the

end of each month. Azan withdrew ₹10,000 at end of each quarter. Aqib withdrew ₹40,000 at

6,000 (b) Ayan- ₹ 2,400, Azan- ₹ 1,200,

Aqib- ₹ 5,000 (c) Ayan- ₹ 1,400, Azan- ₹

ratio of 3:2:1 it was observed that: Interest on capital was provided at 14% p.a. instead of 10%

p.a. You are required to pass adjustment entry. 3

@ ₹9,000 per annum, as provided in the partnership deed has not been credited to the partners’

capital accounts before distribution of profits. You are required to give necessary rectifying entries

Project Document must comprise:
● Cover Page with the names of the group along with members and SDG theme.

● Basic Intro/ About the research topic
● 4W Problem Canvas along with the problem statement
● Empathy Map
● Solutions cited - Best possible solution selected
● Explanation of how the solution worked upon can achieve a specific SDG ● Screenshots/Pictures supporting the project

ADOBE BOOTCAMP Certificates focused on 'Digital Creativity and AI Skills Accelerator'

Objective: To develop Reasoning and Analytical Skills

Q6. Name one autosomal dominant and one autosomal recessive Mendelian disorder in humans. Q7. Why is Drosophila ideal for experiments in Genetics?

Q8. The map distance between genes A and B is 3 units, between B and C 10 units and between C and A 7 units. What is the order of the genes on the linkage map?

Case Studies –(Chapter -2)

Principles of Management

Q. 2. The production manager of an automobile company asked the foreman to achieve a target production of 200 scooters per day. But he did not give him the authority of requisition tools and materials from the stores department. Can the production manger blame the foreman if he is not able to achieve the desired target? Explain briefly the principle relating to the situation.

(3 marks)

Q. 5. Kanika and Priyanka are typists in a company having same educational qualifications. Kanika is getting Rs. 16000 per month and Priyanka Rs. 10000 per month as salary for the same working hours. Which principle of management is violated in this case. (1 mark)

Q. 6. Rishabh, a manager, very often speaks to people at all levels, passing on instructions regarding his department and also the other departments. Which principle of management is being overlooked? (1 mark)

Q. 9. Radhika opens a jewelry showroom in Jaipur after completing a course in jewelry designing. She has employed eleven persons in her showroom. For greater productivity, she divides the work into small tasks and each employee is trained to perform his/her specialized job. The sales persons are allowed to close a deal with a buyer by giving a maximum of 10% discount, whereas the decision to given any further discount rests with Radhika as the final authority. In the earlier days of starting of the business, five of her employees were asked to put in extra hours of work. In return she had promised to give them a special incentive within a year. Therefore, after six months when the business was doing well, she awarded a cash bonus to each of these employees to honour her commitment. However, when it comes to setting the conflicts among her employees, she tends to b e more biased towards her female employees.

In context of the above case:

In context of the above case:

1. Identify and explain the various principles of management that Mehul is advising Neeraj to follow while doing his job.

2. Why does Satinder find the principle of management different from those of pure science?

3. Why do the principles of management form the core of management in practice?

2. Given any two values which the Dabbawalas want to communicate to the society.(4 marks)

Q. 13. ‘Aapka vidyalaya’ believes in holistic development of students and encourages team building through a mix of curricular, co-curricular and sports activities. On its founders day a stage performance had to be put up. A committee of ten prefects was constituted to plan different aspect of the function. They all decided to use recycled paper for decoration. There was a spirit of unit and harmony and all members supported each other. With mutual trust and belongingness the programme was systematically planned and

Q. 14. Nikita and Salman completed the MBA and started working in a multinational company at the same level. Both are working hard and are happy with their employer. Salman had the habit of backbiting and wrong reporting about his colleagues to impress his boss. All the employees in the organization knew about it. At the time of performance appraisal the performance of Nikita was judged better than Salman. Even then their boss, Mohammed Sharif decided to promote Salman stating that being a female Nikita will not be able to handle the complications of a higher post.

1. Identify and explain the principle of management which was not followed by this multinational company.

3. Which principle of management has been overlooked by this company? State it. (6 marks)

Q. 16. ABC Ltd. is engaged in producing electricity from domestic garbage. There is almost equal division of work and responsibility between workers and management. The management even takes workers into confidence before taking important decisions.

To revive from the losses, the management thought of shifting the unit to a backward area where labour is available at a low cost. The management also asked the workers to work overtime without any additional payment and promised to increased to wages of the workers after achieving its mission. Within a short period the company started earning profits because both the management and the workers honoured their commitments.

1. State the principle of management described in the above para.

3. State any two values neglected by the people of this organization. (5 marks)

Q. 19. Telco Ltd. is manufacturing files and folders from old clothes to discourage use of plastic fields and folders. For this, they employ people from nearby villages where very less job opportunities are available. An employee, Harish, designed a plan for cost reduction but it was not welcomed by the production manager. Another employee gave some suggestion for improvement in design, but it was also not appreciated by the production manager.

2. State any two values overlooked/ignored by the management in the above case.(3 marks)

Q. 21. Hritik is desirous of setting up a small factory to manufacture different kinds of eco-friendly packaging materials. He proposes to adopt to logical approach to his business rather than hit and trial method as he knows that this can result in tremendous saving of human energy as well as

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