The _______ Account shows the distribution of profit after the same has been earned and computed by a partnership firm.
Profit and Loss Appropriation
The correct answer is option 3. The Profit and Loss Appropriation Account is used to show the distribution of profit among the partners, after the computation of net profit from the Profit and Loss account.
X and Y are partners in a partnership firm without any agreement. X has withdrawn Rs. 55,000 out of his capital as drawings. What is the interest on drawings that may be charged from X by the firm?
In case of a Partnership Firm, a ______ is prepared to show the distribution of profits among different partners.
X and Y are partners sharing profits and losses in the ratio of 3 ∶ 2. They admit Z as a new partner with 1/5 share in the profits. Calculate the new profit sharing ratio of the partners.
Ram and Shyam are partners in a firm with capital of ₹ 4,80,000 and ₹ 3,10,000, respectively. They admitted Ganesh as a partner with $\frac{1}{4}$th share of profit. Ganesh brings ₹ 3,00,000 as his capital. Ganesh's share of goodwill will be