S, W and M are partners. They share profits and losses in the ratios of ¥s5, Ys and Ys respectively.

For the year ended 31 December 19X6 their capital accounts remained fixed at the following amounts:

They have agreed to give each other 10 per cent interest per annum on their capital accounts.
In addition to the above, partnership salaries of £3,000 for W and £1,000 for M are to be charged.
The net profit of the partnership before taking any of the above into account was £25,200.
You are required to draw up the appropriation account of the partnership for the year ended 31 December 19X6.

Transcribed Image Text:

SWM 6,000 4,000 2,000