Question

X,Y & Z are partners sharing profits and losses in the ratio of 4:3:2. During 2015, their capital drawings & salaries were as follows:

partners	capital (Rs.)	Salaries(Rs.)	Drawings (Rs.)
X	2,40,000	12,000	12,000
Y	1,60,000	12,000	6,000
Z	1,00,000	12,000	3,000

Partners are entitled to interest on capital @ 5% p.a. Interest on drawings to be charged @ 8% p.a. The net profit for the year ended 31-12-2015 was Rs. 1,45,000. On 1-7-2015 X made advance of Rs. 1,00,000 to the firm at 6% P.a. Y's share of profit after above appropriation will be ___________.

• A. Rs. 37,707
• B. Rs. 28,560
• C. Rs. 18,853
• D. Rs. 25,753

Answer 1

Answer: (B)

Rs. 28,560

Profit sharing ratio of X, Y and Z is 4:3:2

Profit & Loss Appropriation A/c

Parrticulars (Dr.)	Amount	Particulars (Cr.)	Amount
To salary a/c X's capital 12,000 Y's capital 12,000 Z's capital 12,000 To interest on capital a/c X's capital 12,000 Y's capital 8,000 Z's capital 5,000 To profit on appropriation X's capital 38,080 Y's capital 28,560 Z's capital 19,040	36,000 25,000 85,680	By p&l a/c By interest on drawings a/c X's capital 480 Y's capital 240 Z's capital 120	1,45,000 840

Thus Y's share of profit is $Rs28,560$.