22 Views

Question : P, Q and R are partners sharing profits and losses equally. Their capital balances at the beginning of the financial year were Rs.80,000, Rs.60,000 and Rs.40,000 respectively. Their personal assets were: P Rs.20,000, Q Rs.15,000 and R Rs.10,000. The extent of their liability towards the firm would be:

Option 1: P Rs.80,000, Q Rs.60,000, R Rs.40,000

Option 2: P Rs.20,000, Q Rs.15,000, R Rs.10,000

Option 3: P Rs.1,00,000, Q Rs.75,000, R Rs.50,000

Option 4: Equal


Team Careers360 18th Jan, 2024
Answer (1)
Team Careers360 19th Jan, 2024

Correct Answer: P Rs.1,00,000, Q Rs.75,000, R Rs.50,000


Solution : External liability = Opening capital + Personal assets.
P = Rs.80,000 + Rs.20,000 = Rs.1,00,000.
Q = Rs.60,000 + Rs.15,000 = Rs.75,000
R = Rs.40,000 + Rs.10,000 = Rs.50,000.
Hence, the correct option is 3.

Related Questions

UPES Integrated LLB Admission...
Apply
Ranked #28 amongst Institutions in India by NIRF | Ranked #1 in India for Academic Reputation by QS University Rankings | 16.6 LPA Highest CTC
SLAT 2025 - The Symbiosis Law...
Apply
Conducted by Symbiosis International (Deemed University) | Ranked #5 in Law by NIRF | Ranked #2 among best Pvt Universities by QS World Rankings
Jindal Global Law School Admi...
Apply
Ranked #1 Law School in India & South Asia by QS- World University Rankings | Merit cum means scholarships
Symbiosis Law School Pune Adm...
Apply
NAAC A++ Accredited | Ranked #5 by NIRF
Nirma University Law Admissio...
Apply
Grade 'A+' accredited by NAAC
ISBR Business School PGDM Adm...
Apply
180+ Companies | Highest CTC 15 LPA | Average CTC 7.5 LPA | Ranked as Platinum Institute by AICTE for 6 years in a row | Awarded Best Business Scho...
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books