305

You visited us 305 times! Enjoying our articles? Unlock Full Access!

Byju's Answer

Standard XI

Accountancy

BRS Starting with Pass Book Balance

Capital on 1 ...

Question

Capital on 1 January Rs.65,000, Interest on drawing Rs.5,000, Interest on Capital Rs.2,000, Drawings Rs.14,000, Profit for the year Rs.15,000. His capital as on 31 December will be _____________.

Rs. 67,000

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Rs.63,000

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Rs.77,000

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Rs.89,000

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is B Rs.63,000
PARTICULARS AMT RS.
Capital at the beginning of the year 65,000
less: drawings 14,000
less: int. on drawings 5,000
add: int.on capital 2,000
add: profit for the year 15,000

Capital at the end of the year 63,000

Suggest Corrections

Similar questions

Q. F's capital on January 1, 20X2 is Rs. 45,000, Interest on drawing is Rs. 5,000, Interest on Capital is Rs. 2,000. Drawings is Rs. 14,000, Profit for the year is Rs. 15,000. His capital as on 31.12.20X2 is _____________________.

A

and

B

are partners in a business and their capitals at the end of the year were

R s . 7, 00, 000

and

R s 6, 00, 000

respectively. Calculate their opening capitals considering the following information:
(a) Drawings of

A

and

B

for the year were

R s . 75, 000

and

R s . 50, 000

respectively.
(b)

B

introduced capital of

R s .1, 00, 000

during the year.
(c) Interest on capital credited to the Capital Accounts of

A

and

B

were

R s .15, 000

and

R s . 10, 000

respectively.
(d) Interest on drawings debited to the Capital Accounts of

A

and

B

were

R s .7, 500

and

R s . 5, 000

respectively.
(e) Share of profit credited to Capital Accounts was

R s . 1, 00, 000

each.

Ram and Shyam are partners with a capital of Rs 1,00,000 and Rs 1,60,000 on January 1, 2016 respectively. Ram introduced additional capital of Rs 30,000 on July 1, 2016 and another Rs 20,000 on October 31, 2016. Calculate interest on capital for Ram for Financial Year ending December 2016. The rate of interest is 9% p.a.

Q. On 31st March, 2018, Capital Accounts of

E, M

and

A

after making adjustments for profits, drawings, etc., were as

E - R s . 8, 00, 000; M - R s . 6, 00, 000

and

A - R s . 4, 00, 000

. Subsequently, it was found that interest on capital and interest on drawings had been omitted. The partners were entitled to interest on capital @

5 %

p.a. Drawings during the year were:

E - R s . 2, 00, 000; M - R s . 1, 50, 000

and

A - R s . 90, 000

. Interest on drawings chargeable to the partners were:

E - R s . 5, 000; M - R s . 3, 600

and

A - R s . 2, 000

. The net profit during the year amounted to

R s . 12, 00, 000

. The profit-sharing ratio of the partners was

3 : 2 : 1

.
Pass necessary adjustment entry for rectifying the above errors of omission. Show your workings.

On March 31, 2017 the balance in the capital accounts of Eluin, Monu and Ahmed, after making adjustments for profits, drawing, etc; were Rs 80,000, Rs 60,000 and Rs 40,000 respectively. Subsequently, it was discovered that interest on capital and interest on drawings had been omitted. The partners were entitled to interest on capital @ 5% p.a. The drawings during the year were Eluin Rs 20,000; Monu, Rs 15,000 and Ahmed, Rs 9,000. Interest on drawings chargeable to partners were Eluin Rs 500, Monu Rs 360 and Ahmed Rs 200. The net profit during the year amounted to Rs 1,20,000. The profit sharing ratio was 3 : 2 : 1. Pass necessary adjustment entries.

Join BYJU'S Learning Program

PARTICULARS	AMT RS.
Capital at the beginning of the year	65,000
less: drawings	14,000
less: int. on drawings	5,000
add: int.on capital	2,000
add: profit for the year	15,000

Capital at the end of the year	63,000

Capital on 1 January Rs.65,000, Interest on drawing Rs.5,000, Interest on Capital Rs.2,000, Drawings Rs.14,000, Profit for the year Rs.15,000. His capital as on 31 December will be _____________.

The correct option is B Rs.63,000 PARTICULARS AMT RS. Capital at the beginning of the year 65,000 less: drawings 14,000 less: int. on drawings 5,000 add: int.on capital 2,000 add: profit for the year 15,000 Capital at the end of the year 63,000

The correct option is B Rs.63,000
PARTICULARS AMT RS.
Capital at the beginning of the year 65,000
less: drawings 14,000
less: int. on drawings 5,000
add: int.on capital 2,000
add: profit for the year 15,000

Capital at the end of the year 63,000