Salim, Osama and Javid are partners. They share profits and losses in the ratio of 2/5, 2/5 and 1/5 respectively. For the year ended 31st December 2018, their capital accounts remained at the following amounts Salim 6,000 Osama 4,000 Javid 2,000 They have agreed to give each other 10% interest per annum on their capital accounts. In addition to the above, partnership salaries of RO 3,000 for Osama and RO 1,000 for Javid are to be charged. The net profit of the partnership, before taking any of the above into accounts was RO 25,200. You are required to draw up the appropriation account of the partnership for the year ended 31st Dec 2018
Salim, Osama and Javid are partners. They share
For the year ended 31st December 2018, their capital accounts remained at the following amounts
Salim 6,000
Osama 4,000
Javid 2,000
They have agreed to give each other 10% interest per annum on their capital accounts.
In addition to the above,
The net profit of the partnership, before taking any of the above into accounts was RO 25,200.
You are required to draw up the appropriation account of the partnership for the year ended 31st Dec 2018
Step by step
Solved in 2 steps
