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Model Test Papers M.81
13. X, Y and Z are partners in a firm sharing profits in the ratio of 2 : 2 : 1. Interest on
capital is payable @ 10% p.a. and charge on drawings at the same rate. Fill up the
missing figures in the following accounts:
Dr. PROFIT AND LOSS APPROPRIATION ACCOUNT for the year ended 31st March, 2018 Cr.
Particulars ` Particulars `
To ? ? By Net Profit as per Profit and Loss A/c ?
To Z’s Salary A/c 60,000 By Interest on Drawings A/cs:
To Profit transferred to: X 2,000
? (2/5) ? Y 2,000
? (2/5) ? Z 1,000 5,000
? (1/5) ? ?
7,60,000 7,60,000

Dr. PARTNERS’ CAPITAL ACCOUNTS Cr.
Particulars X Y Z Particulars X Y Z
` ` ` ` ` `
To ? ? ? ? By Balance b/d ? ? ?
? ? ? ? ? ?

Dr. PARTNERS’ CURRENT ACCOUNTS Cr.
Particulars X Y Z Particulars X Y Z
` ` ` ` ` `
To ? ? ? ? By Interest on Capital A/c 40,000 40,000 20,000
To ? ? ? ? By ? ? ? ?
To ? ? ? ? By ? ? ? ?
? ? ? ? ? ?

(6)
14. Ramesh, Suresh and Naresh were partners in a firm sharing profits in the ratio of
2 : 2 : 1. On 31st March, 2018, their Balance Sheet was as follows:

Liabilities ` Assets `
Creditors 60,000 Bank 90,000
Bills Payable 40,000 Stock 70,000
General Reserve 30,000 Debtors 40,000
Capital A/cs: Land and Building 5,00,000
Ramesh 2,36,000
Suresh 2,36,000
Naresh 98,000 5,70,000
7,00,000 7,00,000

Suresh died on 30th June, 2018. The Partnership Deed provided for following on the
death of a partner:
(i) Goodwill of the firm was to be valued at 2 years’ purchase of the average profit of
last 5 years. The profits for the year ended 31st March, 2014, 31st March, 2015,
31st March, 2016 and 31st March, 2017 were ` 50,000; ` 80,000; ` 1,10,000 and
` 2,20,000 respectively. Loss for the year ended 31st March, 2018 was ` 1,60,000.