Dear friends, I request you to solve the following problem (partnership) for which i require solution for examination:
Charan and Bharan were sharing profits in the ration of 3:1 in their partnership business. They were having an office manager. Mr. Karan drawing a salary of Rs.18,000/- per annum. with effect from 1st July 2016 they decided to admit Mr. Karan into partnership for a fift share in profits. Any excess of karan's share over and above his sllary and commission (at 5% net profits after charging such commission) which he used to get previously is to be borne by Charan. For the year ended June 30, 2017 the profits of the firm (before charging Karan's Salary and commission) amounted to Rs.2,62,440. Show the final distribution of profits. .............source B.com III semster Dr.BRAOU Hyd Page 93
Menu
Partnership
Replies (1)
Manager’s commission is calculated in two ways
1) On Profits before charging such commission:-
Manager’s commission=Net Profits X (Percentage of commission / 100)
2) On Profits after charching such commission:-
Manager’s commission=Net Profits X (Percentage of commission / 100+% of commission)
Recent Topics :
- CA Inter Coaching institutes at Hyderabad
- Looking for practising CA
- TDS return filing
- Need formats of FS as per Co act 2013 in soft copy
- Remittance to italy
- Invoice made but goods not sent
- How Do CA Firms Manage Client Document Collection
- How do CA firms manage pending client documents du
- How to find a good CA
- Rcm on rent paid
Related Topics :
CAclubindia
