{"id":46473,"date":"2024-04-15T22:12:51","date_gmt":"2024-04-15T22:12:51","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=46473"},"modified":"2024-04-15T22:12:51","modified_gmt":"2024-04-15T22:12:51","slug":"a-b-and-c-were-partners-with-a-capital-of-rs-50000-rs-40000-and-rs-30000-respectively-carrying-on-business-in-partnership-the-firms-reported-profit-for-the-year-was-rs-80000-as-per-the","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/a-b-and-c-were-partners-with-a-capital-of-rs-50000-rs-40000-and-rs-30000-respectively-carrying-on-business-in-partnership-the-firms-reported-profit-for-the-year-was-rs-80000-as-per-the\/","title":{"rendered":"A, B and C were partners with a capital of Rs. 50,000; Rs. 40,000 and Rs. 30,000, respectively, carrying on business in partnership. The firm&#8217;s reported profit for the year was Rs. 80,000. As per the provision of the Indian Partnership Act, 1932, find the share of each partner in the above amount, taking into consideration that interest has not been provided on an advance of Rs. 20,000 by A in addition to his capital contribution."},"content":{"rendered":"<p>[amp_mcq option1=&#8221;Rs. 26,267 for partner B and C, and Rs. 27,466 for partner A&#8221; option2=&#8221;Rs. 26,667 each partner&#8221; option3=&#8221;Rs. 33,333 for partner A, Rs. 26,667 for partner B and Rs. 20,000 for partner C&#8221; option4=&#8221;Rs. 30,000 for each partner.&#8221; correct=&#8221;option3&#8243;]<!--more--><\/p>\n<p>The correct answer is: <strong>C. Rs. 33,333 for partner A, Rs. 26,667 for partner B and Rs. 20,000 for partner C.<\/strong><\/p>\n<p>The Indian Partnership Act, 1932, does not provide for interest on capital. However, it does provide for interest on advances made by partners. In this case, A has made an advance of Rs. 20,000. As per the Act, interest on this advance will be payable at the rate of 6% per annum.<\/p>\n<p>The profit of the firm for the year is Rs. 80,000. This amount will be divided among the partners in the ratio of their capitals, plus interest on advances. The capitals of the partners are:<\/p>\n<ul>\n<li>A: Rs. 50,000<\/li>\n<li>B: Rs. 40,000<\/li>\n<li>C: Rs. 30,000<\/li>\n<\/ul>\n<p>The interest on A&#8217;s advance is:<\/p>\n<ul>\n<li>20,000 * 6\/100 * 1 = Rs. 1200<\/li>\n<\/ul>\n<p>The total amount of capital and interest for each partner is:<\/p>\n<ul>\n<li>A: 50,000 + 1200 = Rs. 51,200<\/li>\n<li>B: 40,000 + 0 = Rs. 40,000<\/li>\n<li>C: 30,000 + 0 = Rs. 30,000<\/li>\n<\/ul>\n<p>The share of each partner in the profit is:<\/p>\n<ul>\n<li>A: 80,000 * 51200\/120000 = Rs. 33,333<\/li>\n<li>B: 80,000 * 40000\/120000 = Rs. 26,667<\/li>\n<li>C: 80,000 * 30000\/120000 = Rs. 20,000<\/li>\n<\/ul>\n<p>Therefore, the share of each partner in the above amount is:<\/p>\n<ul>\n<li>A: Rs. 33,333<\/li>\n<li>B: Rs. 26,667<\/li>\n<li>C: Rs. 20,000<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>[amp_mcq option1=&#8221;Rs. 26,267 for partner B and C, and Rs. 27,466 for partner A&#8221; option2=&#8221;Rs. 26,667 each partner&#8221; option3=&#8221;Rs. 33,333 for partner A, Rs. 26,667 for partner B and Rs. 20,000 for partner C&#8221; option4=&#8221;Rs. 30,000 for each partner.&#8221; correct=&#8221;option3&#8243;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[85],"tags":[],"class_list":["post-46473","post","type-post","status-publish","format-standard","hentry","category-accounting","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v23.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>A, B and C were partners with a capital of Rs. 50,000; Rs. 40,000 and Rs. 30,000, respectively, carrying on business in partnership. The firm&#039;s reported profit for the year was Rs. 80,000. As per the provision of the Indian Partnership Act, 1932, find the share of each partner in the above amount, taking into consideration that interest has not been provided on an advance of Rs. 20,000 by A in addition to his capital contribution.<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/exam.pscnotes.com\/mcq\/a-b-and-c-were-partners-with-a-capital-of-rs-50000-rs-40000-and-rs-30000-respectively-carrying-on-business-in-partnership-the-firms-reported-profit-for-the-year-was-rs-80000-as-per-the\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"A, B and C were partners with a capital of Rs. 50,000; Rs. 40,000 and Rs. 30,000, respectively, carrying on business in partnership. The firm&#039;s reported profit for the year was Rs. 80,000. As per the provision of the Indian Partnership Act, 1932, find the share of each partner in the above amount, taking into consideration that interest has not been provided on an advance of Rs. 20,000 by A in addition to his capital contribution.\" \/>\n<meta property=\"og:description\" content=\"[amp_mcq option1=&#8221;Rs. 26,267 for partner B and C, and Rs. 27,466 for partner A&#8221; option2=&#8221;Rs. 26,667 each partner&#8221; option3=&#8221;Rs. 33,333 for partner A, Rs. 26,667 for partner B and Rs. 20,000 for partner C&#8221; option4=&#8221;Rs. 30,000 for each partner.&#8221; correct=&#8221;option3&#8243;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/exam.pscnotes.com\/mcq\/a-b-and-c-were-partners-with-a-capital-of-rs-50000-rs-40000-and-rs-30000-respectively-carrying-on-business-in-partnership-the-firms-reported-profit-for-the-year-was-rs-80000-as-per-the\/\" \/>\n<meta property=\"og:site_name\" content=\"MCQ and Quiz for Exams\" \/>\n<meta property=\"article:published_time\" content=\"2024-04-15T22:12:51+00:00\" \/>\n<meta name=\"author\" content=\"rawan239\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"rawan239\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"A, B and C were partners with a capital of Rs. 50,000; Rs. 40,000 and Rs. 30,000, respectively, carrying on business in partnership. The firm's reported profit for the year was Rs. 80,000. As per the provision of the Indian Partnership Act, 1932, find the share of each partner in the above amount, taking into consideration that interest has not been provided on an advance of Rs. 20,000 by A in addition to his capital contribution.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/exam.pscnotes.com\/mcq\/a-b-and-c-were-partners-with-a-capital-of-rs-50000-rs-40000-and-rs-30000-respectively-carrying-on-business-in-partnership-the-firms-reported-profit-for-the-year-was-rs-80000-as-per-the\/","og_locale":"en_US","og_type":"article","og_title":"A, B and C were partners with a capital of Rs. 50,000; Rs. 40,000 and Rs. 30,000, respectively, carrying on business in partnership. The firm's reported profit for the year was Rs. 80,000. As per the provision of the Indian Partnership Act, 1932, find the share of each partner in the above amount, taking into consideration that interest has not been provided on an advance of Rs. 20,000 by A in addition to his capital contribution.","og_description":"[amp_mcq option1=&#8221;Rs. 26,267 for partner B and C, and Rs. 27,466 for partner A&#8221; option2=&#8221;Rs. 26,667 each partner&#8221; option3=&#8221;Rs. 33,333 for partner A, Rs. 26,667 for partner B and Rs. 20,000 for partner C&#8221; option4=&#8221;Rs. 30,000 for each partner.&#8221; correct=&#8221;option3&#8243;]","og_url":"https:\/\/exam.pscnotes.com\/mcq\/a-b-and-c-were-partners-with-a-capital-of-rs-50000-rs-40000-and-rs-30000-respectively-carrying-on-business-in-partnership-the-firms-reported-profit-for-the-year-was-rs-80000-as-per-the\/","og_site_name":"MCQ and Quiz for Exams","article_published_time":"2024-04-15T22:12:51+00:00","author":"rawan239","twitter_card":"summary_large_image","twitter_misc":{"Written by":"rawan239","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/exam.pscnotes.com\/mcq\/a-b-and-c-were-partners-with-a-capital-of-rs-50000-rs-40000-and-rs-30000-respectively-carrying-on-business-in-partnership-the-firms-reported-profit-for-the-year-was-rs-80000-as-per-the\/","url":"https:\/\/exam.pscnotes.com\/mcq\/a-b-and-c-were-partners-with-a-capital-of-rs-50000-rs-40000-and-rs-30000-respectively-carrying-on-business-in-partnership-the-firms-reported-profit-for-the-year-was-rs-80000-as-per-the\/","name":"A, B and C were partners with a capital of Rs. 50,000; Rs. 40,000 and Rs. 30,000, respectively, carrying on business in partnership. 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