Question

Sita and Geeta were partners in a firm. On 1st April, 2011 they admitted Neha as a partner for 1/3 share in the profits of the firm. She is differently abled. The new Partnership Deed provides for the following: 

a. 5% of the trading profit will be donated to Red Cross Society.

 b. 10% of the trading profit will be donated to the Prime Ministers Relief Fund. 

c. Products will be sold to people below poverty line at a discount of 15 % on maximum retail price 

d. New retail shops will be opened in the backward areas of the country 

e. New recruitment of salespersons will be reserved for the girls belongings to Scheduled Castes and Scheduled Tribes, The trading profit of the firm fur the year ended 31.3.2012 was Rs.12,00,000. Identify any four values that were kept in mind by Sita, Geeta and Neha while preparing new Partnership Deed. Also, prepare Profit and Loss Appropriation Account of the firm for the year ended 31.3.2012.

Answer 1

The four values that should be kept in mind by the three partners while preparing ship deed are

i.Equality and Equity

ii. social welfare 

iii. Mutual trust and Honesty 

iv. integration of individual efforts to achieve common goals