The Total solution for NCERT class 6-12
Guarantee of Profit tothe partners
Profit and Loss Appropriation Account
Dr.
Cr.
Particulars
Amount
₹
Profit transferred to
Profit and Loss
36,000
Amit’s Capital
18,000
Less: Gurantee to Samiksha
{2,000 × (3/5)}
(1,200)
16,800
Sumit’s Capital
12,000
{2,000 × (2/5)}
(800)
11,200
Samiksha Capital
6,000
Add: Amit’s Guarantee
1,200
Add: Sumit’s Guarantee
800
8,000