What is meant by Super Profits? Post category:Accountancy Reading time:1 mins read SOLUTION Super Profit is the excess of actual average profits over normal profits. 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 PostName any two factors affecting goodwill of a partnership firm. Next PostHow the goodwill is valued under the super profit’s method? You Might Also Like Reema and Seema are partners. sharing profits equally. The Partnership Deed provides that both Reema and Seema will get monthly salary of Rs. 15,000 each, Interest on Capital will be allowed @ 5% p.a. and Interest on Drawings will be charged @ 10% p.a. Their capitals were Rs. 5,00,000 each and drawings during the year were Rs. 60,000 each. The firm incurred a loss of Rs. 1,00,000 during the year ended 31st March, 2018. Prepare Profit and Loss Appropriation Account for the year ended 31st March, 2018. July 20, 2022 Where will you show purchase of Goodwill in a Cash Flow Statement? October 4, 2022 Amit, Binita and Charu are three partners. On 1st April, 2018, their Capitals stood as: Amit Rs. 1,00,000, Binita Rs. 2,00,000 and Charu Rs. 3,00,000. It was decided that: (a) they would receive interest on Capital @ 5% p.a., (b) Amit would get a salary of Rs. 10,000 per month, (c) Binita would receive commission @ 5% of net profit after deduction of commission, and (d) 10% of the net profit would be transferred to the General Reserve. Before the above items were taken into account, the profit for the year ended 31st March, 2019 was Rs. 5,00,000. Prepare Profit and Loss Appropriation Account and the Capital Accounts of the partners. July 21, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
Reema and Seema are partners. sharing profits equally. The Partnership Deed provides that both Reema and Seema will get monthly salary of Rs. 15,000 each, Interest on Capital will be allowed @ 5% p.a. and Interest on Drawings will be charged @ 10% p.a. Their capitals were Rs. 5,00,000 each and drawings during the year were Rs. 60,000 each. The firm incurred a loss of Rs. 1,00,000 during the year ended 31st March, 2018. Prepare Profit and Loss Appropriation Account for the year ended 31st March, 2018. July 20, 2022
Amit, Binita and Charu are three partners. On 1st April, 2018, their Capitals stood as: Amit Rs. 1,00,000, Binita Rs. 2,00,000 and Charu Rs. 3,00,000. It was decided that: (a) they would receive interest on Capital @ 5% p.a., (b) Amit would get a salary of Rs. 10,000 per month, (c) Binita would receive commission @ 5% of net profit after deduction of commission, and (d) 10% of the net profit would be transferred to the General Reserve. Before the above items were taken into account, the profit for the year ended 31st March, 2019 was Rs. 5,00,000. Prepare Profit and Loss Appropriation Account and the Capital Accounts of the partners. July 21, 2022