In case Operating Cycle cannot be determined, what is the time period of operating cycle assumed? Post category:Accountancy Reading time:1 mins read SOLUTION If Operating Cycle cannot be determined, it is assumed to be a period of 12 months. Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostWhat is ‘Operating Cycle’? Next PostIf Operating Cycle is 12 months and payment is received in 15 months, how will you classify the asset? You Might Also Like S, B and J were partners in a firm. T was admitted as a partner in the partnership firm for 1/15th share of profits. Calculate the sacrificing ratio of S, B and J. July 29, 2022 Write two items of credit side of Current Accounts. September 23, 2022 Three Chartered Accountants Abhijit, Baljit and Charanjit form a partnership, profits being shared in the ratio of 3: 2: 1 subject to the following: (a) Charanjit’s share of profit guaranteed to be not less than Rs. 15,000 p.a. (b) Baljit gives a guarantee to the effect that gross fee earned by him for the firm shall be equal to his average gross fee of the preceding five years when he was carrying on profession alone, which on an average works out at Rs. 25,000. The profit for the first year of the partnership are Rs. 75,000. The gross fee earned by Baljit for the firm is Rs. 16,000. You are required to show Profit and Loss Appropriation Account after giving effect to the above. October 18, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
S, B and J were partners in a firm. T was admitted as a partner in the partnership firm for 1/15th share of profits. Calculate the sacrificing ratio of S, B and J. July 29, 2022
Three Chartered Accountants Abhijit, Baljit and Charanjit form a partnership, profits being shared in the ratio of 3: 2: 1 subject to the following: (a) Charanjit’s share of profit guaranteed to be not less than Rs. 15,000 p.a. (b) Baljit gives a guarantee to the effect that gross fee earned by him for the firm shall be equal to his average gross fee of the preceding five years when he was carrying on profession alone, which on an average works out at Rs. 25,000. The profit for the first year of the partnership are Rs. 75,000. The gross fee earned by Baljit for the firm is Rs. 16,000. You are required to show Profit and Loss Appropriation Account after giving effect to the above. October 18, 2022