Sara and Tara were partners in a firm. Their capitals as on 1st April, 2023 were ₹ 6,00,000 and ₹ 4,00,000 respectively. On 1st October, 2023, Tara withdrew ₹ 1,00,000 for personal use. According to the partnership deed, interest on capital was allowed @ 8% p.a.
The amount of interest allowed on Tara’s capital for the year ended 31st March, 2024 was :
The amount of interest allowed on Tara’s capital for the year ended 31st March, 2024 was :
Show Hint
- ₹ 28,000
- ₹ 30,000
- ₹ 48,000
- ₹ 32,000
The Correct Option is D
Solution and Explanation
Tara’s capital = ₹ 4,00,000
Withdrawal date = 1st October, 2023
So, for the first 6 months (April to September), interest is calculated on full ₹ 4,00,000: \[ \text{Interest} = \frac{4,00,000 \times 8 \times 6}{100 \times 12} = ₹ 16,000 \] Step 2: Compute interest on reduced capital for next 6 months.
After withdrawal of ₹ 1,00,000, remaining capital = ₹ 3,00,000
So, for the next 6 months (October to March): \[ \text{Interest} = \frac{3,00,000 \times 8 \times 6}{100 \times 12} = ₹ 12,000 \] Step 3: Total interest on capital
\[ \text{Total Interest} = ₹ 16,000 + ₹ 12,000 = ₹ 28,000 \] Note: The correct answer according to solution is ₹ 28,000, so the original marked answer (4) ₹ 32,000 may be incorrect. Correct Answer (Updated): (1) ₹ 28,000
Top Questions on Partnership Accounts
Sudha and Sudhir were partners in a firm sharing profits and losses in the ratio of 4 : 1. On 1st April, 2023, their fixed capitals were ₹12,00,000 and ₹4,00,000 respectively. On 1st July, 2023, Sudha invested ₹2,00,000 as additional capital. On 1st August, 2023, Sudhir withdrew ₹50,000 from his capital.
The partnership deed provided for the following:
(i) Interest on capital @ 6% p.a.
(ii) Interest on drawings @ 8% p.a.
During the year, Sudha withdrew ₹60,000 and Sudhir withdrew ₹40,000 for personal use. After providing interest on capital and charging interest on drawings, the net profit of the firm for the year ended 31st March, 2024 was ₹3,50,000.
Prepare Current Accounts of Sudha and Sudhir.- CBSE CLASS XII - 2025
- Accountancy
- Partnership Accounts
- Shobha, Kalyani and Kaveri were partners in a firm sharing profits and losses in the ratio of 3 : 5 : 2. The firm closes its books on 31st March every year. On 30th June, 2024 Kalyani died. On that date, her capital account showed a credit balance of \rupee~3,00,000. On the same date the firm had a General Reserve of \rupee~1,20,000.
The partnership deed provided for the following on the death of a partner: (i) Balance in her capital account.
(ii) Interest on capital @ 12% p.a.
(iii) Her share in the profits of the firm till the date of her death calculated on the basis of previous year’s profits. The profit of the firm for the year ended 31st March, 2024 was \rupee~2,80,000.
(iv) Her share in the goodwill of the firm. The goodwill of the firm on Kalyani’s death was valued at \rupee~4,00,000.
Prepare Kalyani’s Capital Account to be presented to her executors.- CBSE CLASS XII - 2025
- Accountancy
- Partnership Accounts
- Mohan, a partner, withdrew ₹80,000 from the business for his personal use during the year ended 31st March, 2024. Interest on drawings was to be charged @ 12% per annum. Interest on Mohan’s drawings will be:
- CBSE CLASS XII - 2025
- Accountancy
- Partnership Accounts
- Murthy and Madhavan were partners in a firm sharing profits and losses in the ratio of 3 : 1. They admitted Shriniwas as a new partner in the firm. On admission of Shriniwas, there existed a balance of ₹8,00,000 in debtors account and a balance of ₹50,000 in provision for bad debts account. Debtors of ₹60,000 proved bad and hence were written off. It was decided to maintain a provision for bad debts at 10% of the debtors. The revaluation account will be debited by \_\_\_\_\_ on the reconstitution of the firm.
- CBSE CLASS XII - 2025
- Accountancy
- Partnership Accounts
- Manav, Mayank and Manish were partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. On 31st March, 2024, their Balance Sheet showed a debit balance of ₹60,000 in the Profit and Loss Account. They decided that from 1st April, 2024 they will share profits in the ratio of 2 : 2 : 1. The journal entry for writing off the debit balance of Profit and Loss Account on reconstitution of the firm will be:
- CBSE CLASS XII - 2025
- Accountancy
- Partnership Accounts
Questions Asked in CBSE CLASS XII exam
- The monetary policy is formulated by the ____ in the Indian economy.
- CBSE CLASS XII - 2025
- Money and Banking
- "The government generally levies higher Goods and Services Tax (GST) on socially undesirable products like cigarettes, tobacco, liquor etc." Identify and explain the indicated government budget objective in the above statement.
- CBSE CLASS XII - 2025
- Government Budgeting
- Find the values of \( a \) for which \( f(x) = \sin x - ax + b \) is increasing on \( \mathbb{R} \).
Two batteries of emf's \(3V \& 6V\) and internal resistances 0.2 Ω \(\&\) 0.4 Ω are connected in parallel. This combination is connected to a 4 Ω resistor. Find:
(i) the equivalent emf of the combination
(ii) the equivalent internal resistance of the combination
(iii) the current drawn from the combination- CBSE CLASS XII - 2025
- Electrical Circuits
Four students of class XII are given a problem to solve independently. Their respective chances of solving the problem are: \[ \frac{1}{2},\quad \frac{1}{3},\quad \frac{2}{3},\quad \frac{1}{5} \] Find the probability that at most one of them will solve the problem.