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Bhanu and Pratap are partners sharing profit and loss equally. Their fixed capitals as on the 1st april,2017 are ₹8,00,000 and ₹10,00,000 respectively. Their drawings during the year were ₹50,000 and ₹1,00,000 respectively. Interest on Capital is @ 10%p.a. and interest on drawings is @ 15%p.a. Profit for the year ended 31st March ,2018 was 1,20,000. Prepare profit and loss appropriation account.?
Ref: https://edurev.in/question/527813/Bhanu-and-Pratap-are-partners-sharing-profit-and-loss-equally-Their-fixed-capitals-as-on-the-1st-ap

It must be noted that:
1) interest on drawing will be calculated for six months as no time period has been mentioned.
2) the drawinga are considered as drawings of cash not of capital.

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1. What is commerce?

Ans. Commerce refers to the activity of buying and selling goods and services, typically involving the exchange of money. It encompasses various aspects such as trade, transportation, finance, marketing, and more.

2. What are the different types of commerce?

Ans. There are several types of commerce, including e-commerce (electronic commerce) which involves buying and selling goods online, m-commerce (mobile commerce) which refers to transactions conducted through mobile devices, and traditional commerce which involves physical stores and face-to-face transactions.

3. How does e-commerce impact traditional commerce?

Ans. E-commerce has significantly impacted traditional commerce by providing consumers with the convenience of shopping from anywhere and at any time. It has also increased competition, forced traditional retailers to adapt to online sales, and led to the emergence of new business models.

4. What is the role of finance in commerce?

Ans. Finance plays a crucial role in commerce as it involves managing financial resources, budgeting, financial planning, and investment decisions. It helps businesses in raising capital, managing cash flow, analyzing profitability, and making informed financial decisions.

5. How does marketing contribute to the success of commerce?

Ans. Marketing plays a vital role in commerce by creating awareness about products and services, attracting customers, and promoting sales. It involves activities such as market research, advertising, branding, product positioning, and customer relationship management, all of which contribute to the success of businesses in the competitive market.

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