Mahesh, Mohan and Naresh are partners sharing profits and losses in the ratio of 2 :2 :1. Their capitals on 1.4.2017 was 1,00,000, 80,000 and 50,000 respectively. Mahesh died on 1.10.2017 and the partnership deed provides the following:
(a) Interest on capital at 10% p.a.
(b) Mahesh entitles for a monthly salary of Rs.4,000.
(c) Mahesh’s share of goodwill. The total goodwill of the firm is Rs.50,000
(d) His share of profit upto the date of death, on the basis Of previous year’s profit. Previous year profit is Rs. 20,000. Prepare Mahesh’s Executors Account.
