1.

Read the hypothetical text and answer the following questions. :M, N and O entered into partnership firm on 1st July, 2018 and decided to share profits and losses in the ratio of 3:2:1. M guaranteed that O’s share of profit after charging interest on capitals @ 6% p.a. would not be less than ₹ 36,000 p.a. The capital contributed by M: ₹ 2,00,000, N: ₹ 1,00,000 and O: ₹ 1,00,000 respectively. Profit for the year ended 31st March, 2019 was ₹ 1,38,000.1. What is the total amount of interest on capital? a) ₹ 9,000 b) ₹ 12,000 c) ₹ 18,000 d) ₹ 24,000 2. What is the distributable amount of profit? a) ₹ 1,00,000 b) ₹ 1,20,000 c) ₹ 1,10,000 d) ₹ 90,000 3. What is the share of profit of O? a) ₹ 27,000 b) ₹ 36,000 c) ₹ 18,000 d) ₹ 9,000 4. What is deficiency amount to be borne by M? a) ₹ 16,000 b) ₹ 7,000 c) 12,000 d) ₹ 15,000

Answer»

1. c) ₹ 18,000

2. b) ₹ 1,20,000

3. a) ₹ 27,000

4. b) ₹ 7,000



Discussion

No Comment Found

Related InterviewSolutions