Accounts

FUNDAMENTALS
OF PARTNERSHIP
 meaning
Reln
!
→ b) w person
→
agree to share
profit
→ Business carried all
by
or
any

Nature & FEATURE

Partner & Firm are singleenti.TT
① atleast 2 or more

man 50 member

allow 100
company act ,
2013

But 50 in
later
got correct
,
to 2014

② written or oral both

-
Partners hid
deed

③ Lawful business
④ Profit are share
but not essential to share loss
⑤ can be carried
by all or
any acting for them

RIGHTS
on ones
que
→
give loan
firm rate is not decided
of partner to
,

then 6- i. [ IPA 1932 ] provided

→ gn case
of emergency ,
?
→ If a
partner incur doss on behalf of business he will
later on
get indemnified
PARTNERSHIP Deed
→ amount
of capital to be contributed by each partner
→ method
valuation
of of goodwill is chooser in deed
→ Bank ale
of firm is
operated by any partner or
jointly
PARTNERSHIP Deeds
→ relation
define among partner
imp so that dispute do not arise

right & liabilities

→ duties
govern ,

INDIAN PARTNERSHIP ACT 1932

Share
of profit / Loss I :L equally
IOC Not allow
IOD Not allow
Interest on
by partner
loan 6% PA
Rumene ration Sal Comm etc
[ ] , ,
Not paid
→ minor are allowed
→
with consent
→
partner may
retire
of all partner
Registration is optional
CHARGE AGAINST PROFIT
&
APPROPRIATION OF PROFIT

Against Profit : expense for firm where

firm
earn
profit or loss

appropriation :
if firm earn profit then it is

given [month §3ñ TIP FT]

BE At time
of dissolution interest on loan to

partner is
given before giving capital amount
to partner
Pnl APPROPRIATION
→ extension PNL alc

only appropriation topics

→ include
→
prepare after PNL all
→
Prepared to show net profit or doss

for accounting period among partner

→
matching principle is not followed
THIN Case Net profit is less than
,

amount that is to be appropriated then

it will not be distributed in old ratio

But
,
In the ratio
of appropriation

appropriation
¥1,4
soooo < * ooo

Distributed
#is
in

-
16g Too §
,
=
= 5 :3
 PARTNER CAPITAL AIC
Po§artneD
'

[NOMINAL

Fined cap ale

Fluctuating
fluctuated
# with every
transaction

coipital ale current alc capital alc

/ Jafar:D t
"
# show same bat
,
unless
every year Cr bae
Liability
, , -

,,

additional capital include all other

side
is not introduced transaction
of partner
other than capital do bal -
asset
side

-
r
cr
Do
when capital
introduced
when capital
withdraw

08

Drawing against
capital

jwctuatingalc-drorcr~mwwdrcap.F
#
Drawing against profit fined cap all -

Cr
or current ale
bal
Drawing against capital
ate
Both
 RUMEN C- RATION
commission appropriation of
salary or -

→ salary payable
is amount profit

•mmjaby
→

COMM 1510N :

after charging
-

Before charging
NPX Rate
of Comm
NIP ✗ Rate of Comm
too + Rate
too

IOC
→ calculate at
agreed orate
→ allowed on
opening bad
of partner capital
# withdrawal
of capital
amount jab withdraw 571T¥ Uske baad Usps interest
def 8¥ zifz And left amount ¥ Utne 4T interest

got .

# additional : rat new cap 3- É ☒ af interest

dege
When Ioc > net
profit
then new ratio will be formed & is distributed
from nlp
To find new oiatio -

(partner Io c)
Cota Ioc
of all
partner

0J ② ••:N1P_
 DRAWINGS
capital Dr F'cap
→
Drawing against alc
-

against profit
→
Drawing -

Dr =
,
'

current all

against capital
→ in but
Drawing are used IOC
not in IOD

••

a
88
ooo

Irregular
Period Regular
period
4
PRODUCT
METHOD
A¥ÉAGE
METHOD

|uc
•

*
-8
A
• • •

Simple ,
monthly Quarterly half
year
☐ simple

PRODUCT :
 0

"
→

Ins
if equal amount is
•o
withdrawn
every
d- month

Beginner middle End

5 5.5
6.
12
¥ 12

→ withdraw
If Partner
•
every quarter
→→
middle end
Beginning
÷ ÷ ¥
"
'

→
if ammt is withdraw half years
••
every

→→
☒
I

BBeggi.mn?nngg mmioddddle end

99 33
Izz ¥2 Fe

if partner withdraw nneqqioal aammoonnlt

Total product ☒ RAFI ☒ I
100 122

µ# after µ# Alter
Timme
factor
± Time Thane
*
First
ddooawwionngg 1b¥ drawing
I
 given without per
annum
interest is
→ when rate
of
interest is
charged without considering time factor
6 month
→ date of withdrawal not given ,
IOD calculated on

GAURANTEE
Profit may be
gauoantee to new
partner by
ratio
↳ all
remaining partner in
agreed
↳ one or more old partner