question_answer

B and A are partners in a firm and sharing the profit & loss in the ratio of 3:2 with a capital of Rs.1,00,000 and Rs.60,000 respectively. Calculate the amount of profit or loss to be distributed among the partner if partnership deed is silent on interest on capital. Profit for the year is Rs.50,000. Profit distribution will be:

A) Profit to B = 20,000 and A = 30,000

B) Profit to B = 25,000 and A = 25,000

C) Profit to B = 30,000 and A = 20,000

D) Profit is to be shared in the ratio of their capital i.e. 5:3