alleryA and B share profits 3:2. Net profit is ₹50,000. A's share is
- ₹25,000
- ₹33,333
- ₹20,000
- ₹30,000
Show answer and solution
Correct answer: D. ₹30,000
A's share = 50,000 × 3/5 = ₹30,000.
CA Foundation Partnership Accounts — practice questions
Explore 39 free Partnership Accounts questions in CA Foundation Accountancy. Open each question or exercise to read its content, reference answers and available explanation.
Practise Partnership Accounts with Quill →Partnership Accounts questions and exercises with answers
Showing questions 1–30 of 39.
A and B share profits 3:2. Net profit is ₹50,000. A's share isRead the answer and worked solution →Capital ₹2,00,000; interest on capital at 10% p.a. for the full year isRead the answer and worked solution →Under the fixed capital method, the partners maintainRead the answer and worked solution →Under the fluctuating capital method, which item is NOT recorded in the capital account?Read the answer and worked solution →Interest on drawings isRead the answer and worked solution →Drawings of ₹10,000 made evenly through the year attract interest at 10% p.a. The interest on drawings is approximatelyRead the answer and worked solution →A partner's salary, when provided in the deed, isRead the answer and worked solution →A, B and C are partners 2:2:1. C is guaranteed minimum ₹20,000. Firm profit is ₹80,000. C's actual share before guarantee isRead the answer and worked solution →The Profit and Loss Appropriation Account is an extension of theRead the answer and worked solution →Persons who have entered into a partnership are individually calledRead the answer and worked solution →Which is an essential feature of partnership?Read the answer and worked solution →A and B contribute ₹3,00,000 and ₹2,00,000. No deed exists. Profit ₹1,00,000 is shared asRead the answer and worked solution →Interest on capital is calculated on theRead the answer and worked solution →Net profit ₹90,000; A's salary ₹12,000; interest on capitals ₹18,000 total. Profit available for distribution isRead the answer and worked solution →If a partner's capital account shows a debit balance, it usually means the partner hasRead the answer and worked solution →The document containing the terms of partnership is theRead the answer and worked solution →P and Q share 1:1. P is guaranteed ₹25,000 minimum by Q. Profit ₹40,000. After guarantee, Q getsRead the answer and worked solution →Rent paid to a partner for using their premises isRead the answer and worked solution →'Guarantee of profit to a partner' means the partner getsRead the answer and worked solution →Opening capital ₹1,00,000; additional ₹50,000 introduced after 6 months; interest at 10% p.a. Total interest on capital isRead the answer and worked solution →Collectively, partners carrying on a business are called aRead the answer and worked solution →The true test of the existence of a partnership is:Read the answer and worked solution →Under Section 5, the relation of partnership arises from:Read the answer and worked solution →Regarding profits and losses in a partnership:Read the answer and worked solution →The maximum number of partners permitted in a partnership firm (under the Companies (Miscellaneous) Rules, 2014) is:Read the answer and worked solution →Where a partnership entered into for a fixed term is continued after the expiry of that term, it becomes a:Read the answer and worked solution →A 'partner in profits only':Read the answer and worked solution →An incoming partner admitted into an existing firm is:Read the answer and worked solution →An outgoing (retiring) partner remains liable to third parties for the firm's acts:Read the answer and worked solution →A 'sub-partner' (a person with whom a partner shares his own share of profits):Read the answer and worked solution →
Worked practice questions
Capital ₹2,00,000; interest on capital at 10% p.a. for the full year is
- ₹20,000
- ₹10,000
- ₹2,000
- ₹18,000
Show answer and solution
Correct answer: A. ₹20,000
Interest on capital = 2,00,000 × 10% = ₹20,000.
Under the fixed capital method, the partners maintain
- only a capital account
- a capital account and a current account
- a single fluctuating account
- only a current account
Show answer and solution
Correct answer: B. a capital account and a current account
Fixed capital method keeps the Capital Account unchanged and routes all adjustments through a separate Current Account.
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