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R and S are partners sharing profits in the ration of 4:3. R contributes 300000 and S 100000 as their capital. their deed provided that interest on capital be allowed at 10% p.a. and salary be allowed to S as 2500 p.m. the net profit before providing interest on capital and salary amounts to 42000 for the year ended 31st march 2023. show the distribution of profit for the year.?
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R and S are partners sharing profits in the ration of 4:3. R contribut...
Calculation of Interest on Capital:
- R's capital = 300000
- S's capital = 100000
- Total capital = 400000
- Interest on capital at 10% p.a. = 400000 * 10% = 40000

Calculation of S's Salary:
- S's salary for the year = 2500 * 12 = 30000

Calculation of Net Profit:
- Net profit before interest and salary = 42000

Distribution of Profit:
- Total profit = 42000
- Interest on capital = 40000
- Salary to S = 30000
- Remaining profit = 42000 - 40000 - 30000 = 2000

Profit Distribution:
- R's share (4/7) = (42000 - 40000 - 30000) * 4/7 = 8000/7
- S's share (3/7) = (42000 - 40000 - 30000) * 3/7 = 6000/7
- R's total share = 8000/7 + 40000 + 30000 = 78000/7
- S's total share = 6000/7 + 40000 + 30000 = 72000/7
Therefore, the profit distribution for the year ended 31st March 2023 would be:
- R: 78000/7
- S: 72000/7
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R and S are partners sharing profits in the ration of 4:3. R contributes 300000 and S 100000 as their capital. their deed provided that interest on capital be allowed at 10% p.a. and salary be allowed to S as 2500 p.m. the net profit before providing interest on capital and salary amounts to 42000 for the year ended 31st march 2023. show the distribution of profit for the year.?
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R and S are partners sharing profits in the ration of 4:3. R contributes 300000 and S 100000 as their capital. their deed provided that interest on capital be allowed at 10% p.a. and salary be allowed to S as 2500 p.m. the net profit before providing interest on capital and salary amounts to 42000 for the year ended 31st march 2023. show the distribution of profit for the year.? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about R and S are partners sharing profits in the ration of 4:3. R contributes 300000 and S 100000 as their capital. their deed provided that interest on capital be allowed at 10% p.a. and salary be allowed to S as 2500 p.m. the net profit before providing interest on capital and salary amounts to 42000 for the year ended 31st march 2023. show the distribution of profit for the year.? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for R and S are partners sharing profits in the ration of 4:3. R contributes 300000 and S 100000 as their capital. their deed provided that interest on capital be allowed at 10% p.a. and salary be allowed to S as 2500 p.m. the net profit before providing interest on capital and salary amounts to 42000 for the year ended 31st march 2023. show the distribution of profit for the year.?.
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