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A and B share profits in the ratio 2:3. A is guaranteed minimum total income of ₹45000 including salary ₹15000. Total profit is ₹90000. Will there be any deficiency?

Answer and explanation

Correct answer: Deficiency will be ₹6000

After salary the balance is ₹75000 and A's share is ₹30000. Total income is ₹15000 plus ₹30000 equal to ₹45000 so there is no deficiency.

Related tags

PartnershipGuaranteeTotal IncomeAdjustmentsPartnership Accounts Basic ConceptsAccountancyClass 12 Mcq

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