Use app×
Join Bloom Tuition
One on One Online Tuition
JEE MAIN 2025 Foundation Course
NEET 2025 Foundation Course
CLASS 12 FOUNDATION COURSE
CLASS 10 FOUNDATION COURSE
CLASS 9 FOUNDATION COURSE
CLASS 8 FOUNDATION COURSE
0 votes
99.8k views
in Accounts by (64.4k points)

Ankur and Bobby were into the business of providing software solutions in India. They were sharing profits and losses in the ratio 3: 2. They admitted Rohit for a 1/5 share in the firm. Rohit, an alumni of IIT, Chennai would help them to expand their business to various South African countries where he had been working earlier. Rohit is guaranteed a minimum profit of Rs.2.00.000 for the year. Any deficiency in Rohit’s share Is to be borne by Ankur and Bobby in the ratio 4: 1. Losses for the year were Rs.10, 00.000. Pass the necessary Journal entries.

1 Answer

0 votes
by (106k points)
selected by
 
Best answer

3. Calculation of deficiency

Amount payable to Rohit

= Guaranteed profit amount + loss transferred to rohit ' Capital A/C 

= Rs.2,00,000+2,00,000

= Rs.4,00,000

Deficiency is to be borne by ankur and Bobby in the ratio of 4:1

Welcome to Sarthaks eConnect: A unique platform where students can interact with teachers/experts/students to get solutions to their queries. Students (upto class 10+2) preparing for All Government Exams, CBSE Board Exam, ICSE Board Exam, State Board Exam, JEE (Mains+Advance) and NEET can ask questions from any subject and get quick answers by subject teachers/ experts/mentors/students.

Categories

...