Paras, Pawan and Raman are partners sharing profits in the ratio of 3: 2: 1. Raman is guaranteed annual profit of 75,000. Profit for the year ended 31st March, 2026 was 3,00,000.
Pass the necessary Journal entries giving effect to the above
[Ans.: (i) Dr. Profit & Loss Appropriation A/c by 3,00,000; Cr. Paras’s Capital A/c by 1,50,000; Pawan’s Capital A/c by 1,00,000; Raman’s Capital A/c by き 50,000; (ii) Dr. Paras’s Capital A/c by 15,000 and Pawan’s Capital A/c by 10,000;
Cr. Raman’s Capital A/c by 25,000.]
Solution:
