Atharv Sankliya (1354 Points)
23 October 2021
CA. Sourav Sarkar
(Chartered Accountant )
(24583 Points)
Replied 24 October 2021
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 24 October 2021
Sales is lower than expenses
Atharv Sankliya
(1354 Points)
Replied 24 October 2021
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 24 October 2021
I never worked on partnerships, but I guess you got a loss
net Profit minus all interest on capital = loss and this is debited to appropriation accounts.
Nothing to get surprised about if you get a loss.
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 24 October 2021
Atharv Sankliya
(1354 Points)
Replied 24 October 2021
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 24 October 2021
if You can attach a screenshot. Interest on capital is calculated at the rate of interest irrespective of whose capital it is.
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 24 October 2021
The profit sharing ratio is defined here. the profit sharing ratio is used to calculate on residual profits. Simple.
CAclubindia
