R, Land M are partners in a firm. On 1 April 2014 their capital stood at 8,00,000,6,00,000,4,00,000 respectively. They shared profit and losses in the proportion of 5:3:2 Partners entitled to Intrest on capital @10%p.a and salary to L and M @4000 per month and 6000 per quarter respectively.
L's share of profit (excluding interest on capital but including salary) is guaranteed at a minimum of 1,00,000p.a. Any deficiency arising on that account shall be met by M. The profit of the firm for the year ended 31 March 2015 to 4,00,000.Prepare profit and loss appropriation account for the year ended 31 March