Question

Lalu and Beena are in partnership. He is also entitled to a salary of Rs. 12,000 per annum. Profits and losses are shared equally. The partnership has made a net profit of Rs. 30,000. How much is Lalu’s total increase in his Capital A/c?

(a) 18,000 

(b) 15,000 

(c) 21,000 

(d) 42,000

Answer 1

(c) 21,000 

Notes: 

P&L Appropriation A/c:

Lalu's capital A/c:

Increase in capital = 12000 + 9000 = 21000.