Asha, Disha and Raghav were partners in a firm sharing profits in the ratio of 2 :3: 1. According to the partnership agreement, Raghav was guaranteed an amount of ₹40,000 as his share of profits. The net profit for the year ended 31st March, 2022 amounted to ₹1,20,000.

Prepare Profit and Loss Appropriation Account of the firm for the year ended 31 March, 2022.

Marks-3, CBSE:2022-23/Zone-5/Set-1/Q-18*