divide 18594 between two friends ram and mohan in such away that inter

1.	divide 18594 between two friends ram and mohan in such away that interest paid by ram at 4% p. a. for 6 years be equal to the interest paid by mohan at 5% for 6 years
Answer» Answer: Calculation of Capital balance in the BEGINNING: Particulars RAM Mohan Capitals at the end of the year 24000 18000 Less: Profit ALREADY credited (8000) (8000) ADD: Drawings already DEBITED 4000 6000 Capital at the beginning of the year 20000 16000 Note: Interest on capital is always calculated on the opening balance of the partner's capital. Ram's interest on capital= 20000 * 5/100 = 1000 Mohan's interest on capital= 16000 * 5/100 = 800 hope it will help you

divide 18594 between two friends ram and mohan in such away that interest paid by ram at 4% p. a. for 6 years be equal to the interest paid by mohan at 5% for 6 years

Answer»

Answer:

Calculation of Capital balance in the BEGINNING:

Particulars RAM Mohan

Capitals at the end of the year 24000 18000

Less: Profit ALREADY credited (8000) (8000)

ADD: Drawings already DEBITED 4000 6000

Capital at the beginning of the year 20000 16000

Note: Interest on capital is always calculated on the opening balance of the partner's capital.

Ram's interest on capital= 20000 * 5/100

= 1000

Mohan's interest on capital= 16000 * 5/100

= 800

hope it will help you