Azad and Benny are equal partners Their capitals are 40 000 and 80 000 respectively After the accoun......

Azad and Benny are equal partners. Their capitals are 40,000 and 80,000 respectively. After the accounts for the year had been prepared, it was noticed that interest @ 5% p.a. as provided in the Partnership Deed was not credited to their Capital Accounts before distribution of profits. It is decided to pass an adjustment entry in the beginning of the next year. Record the necessary Journal entry.

By: Aman