Home › CBSE Class 12 (Commerce) › Accountancy › Accounting for Partnership Firms: Fundamentals › The deed is silent on profit sharing. How are pr…
The deed is silent on profit sharing. How are profits shared?
AIn proportion to capital
BEqually among partners
CIn proportion to drawings
DIn proportion to age
Answer & Solution
Correct answer: B. Equally among partners
Without an agreed ratio the Act says profits and losses are shared equally regardless of capital.
Related questions
In a sole proprietorship, where does net profit go?If the deed is silent, how are losses shared?Interest on capital is allowed on capital for what period?Where do partners' capital accounts appear in the balance sheet?A partner's capital account is fixed. Where is his share of profit credited?Rs. 9,000 of omitted interest on capital is shared equally by two partners. Each is chargeInterest on capital was omitted: Rameez Rs. 3,000, Zaheer Rs. 6,000, profits equal. Net adWhat is a past adjustment in partnership accounts?