Mudit, Sudhir and Uday are partners in a firm sharing profits in the ratio of 3 : 1 : 1. Their fixed capital balances are ₹4,00,000, ₹ 1,60,000 and ₹ 1,20,000 respectively. Net profit for the year ended 31st March, 2023 distributed amongst the partners was ₹ 1,00,000, without taking into account the following adjustments: (a) Interest on capitals @ 2.5% p.a.; (b) Salary to Mudit ₹ 18,000 p.a. and commission to Uday - ₹12,000. (c) Mudit was allowed a commission of 6% of divisible profit after charging such commission. Pass a rectifying Journal entry in the books of the firm. Show workings clearly.

Mudit, Sudhir and Uday are partners in a firm sharing profits in the ratio of 3 : 1 : 1. Their fixed capital balances are  ₹4,00,000,  ₹ 1,60,000 and  ₹ 1,20,000 respectively. Net profit for the year ended 31st March, 2023 distributed amongst the partners was  ₹ 1,00,000, without taking into account the following adjustments:

(a) Interest on capitals @ 2.5% p.a.;
(b) Salary to Mudit  ₹ 18,000 p.a. and commission to Uday  -  ₹12,000.
(c) Mudit was allowed a commission of 6% of divisible profit after charging such commission.
Pass a rectifying Journal entry in the books of the firm. Show workings clearly.

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