Complete the sequence where interest on capital has to be provided as per partnership deed, but available profits are not sufficient to provide full amount of Interest on capital. A. If it is appropriation, calculate interest on capital for all partners at given rate B. Divide the available amount in the capital ratio among the partners C. Calculate ratio between capital of partners D. Consider the partnership deed and decide whether interest on capital is a charge or an appropriation E. Consider the available profit Choose the correct answer from the options given below:

Question

Option 1: A, B, C, D, E

Option 2: B, C, D, E, A

Option 3: D, A, E, C, B

Option 4: C, D, A, B, E

AfterBoards · Accepted Answer

The answer is 'D, A, E, C, B'. View full solution:

List-I	List-II
(A) Bank (fresh capital introduced)	(I) Debit side of Partner's Current Account
(B) Interest on drawings	(II) Debit side of Partner's Capital Account
(C) Bank (permanent withdrawal of capital)	(III) Credit side of Partner's Current Account
(D) Commission	(IV) Credit side of Partner's Capital Account

CUET Accountancy 2023 29 May Shift 2 PYQs

Keyboard Shortcuts