Partnership Account Formats (AS Level): Partnership Appropriation Account Format (Copy)
Partnership Appropriation Account Format
Standard Partnership Appropriation Account Layout (Exam-Preferred)
Partnership Appropriation Account For The Year Ended ………
| Details | Amount |
|---|---|
| Profit For The Year | xxxx |
| Appropriations: | |
| Interest On Capital | xxxx |
| Partners’ Salaries | xxxx |
| Total Appropriations | (xxxx) |
| Residual Profit | xxxx |
| Share Of Residual Profit: | |
| Partner A | xxxx |
| Partner B | xxxx |
| Total Distributed Profit | xxxx |
- Prepared After Statement Of Profit Or Loss
- Used To Distribute Profit Between Partners
- Does Not Calculate Business Profit
Written And Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total A Grades, 7 Distinctions And 11 World Records For Educate A Change AS Level Accounting Full Scale Course
Partnership Appropriation Account With Interest On Drawings
Partnership Appropriation Account For The Year Ended ………
| Details | Amount |
|---|---|
| Profit For The Year | xxxx |
| Add: Interest On Drawings | xxxx |
| Adjusted Profit | xxxx |
| Less: Interest On Capital | xxxx |
| Less: Partners’ Salaries | xxxx |
| Residual Profit | xxxx |
| Shared Between Partners | xxxx |
- Interest On Drawings Added Back To Profit
- Treated As Income Of The Partnership
Partnership Appropriation Account Showing Loss
Partnership Appropriation Account For The Year Ended ………
| Details | Amount |
|---|---|
| Loss For The Year | xxxx |
| Less: Interest On Capital | xxxx |
| Less: Partners’ Salaries | xxxx |
| Loss Shared Between Partners | xxxx |
- Loss Distributed According To Profit-Sharing Ratio
- Appropriations Still Allowed Unless Agreement States Otherwise
Written And Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total A Grades, 7 Distinctions And 11 World Records For Educate A Change AS Level Accounting Full Scale Course
Partnership Appropriation Account With Profit-Sharing Ratio (PSR)
Residual Profit Distribution
| Partner | Ratio | Amount |
|---|---|---|
| Partner A | 3 | xxxx |
| Partner B | 2 | xxxx |
| Total | 5 | xxxx |
- PSR Must Be Clearly Stated
- Residual Profit Only Is Shared
Partnership Appropriation Account Without Table (Accepted)
Partnership Appropriation Account
- Profit For The Year …………… xxxx
- Add: Interest On Drawings …………… xxxx
- Less: Interest On Capital …………… xxxx
- Less: Partners’ Salaries …………… xxxx
- Residual Profit Shared …………… xxxx
Written And Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total A Grades, 7 Distinctions And 11 World Records For Educate A Change AS Level Accounting Full Scale Course
Typical Items Included In Partnership Appropriation Account
- Profit Or Loss For The Year
- Interest On Capital
- Interest On Drawings
- Partners’ Salaries
- Residual Profit Or Loss
Items Never Included In Appropriation Account
- Business Expenses
- Depreciation
- Irrecoverable Debts
- Allowance Adjustments
Written And Compiled By Sir Hunain Zia (AYLOTI), World Record Holder With 154 Total A Grades, 7 Distinctions And 11 World Records For Educate A Change AS Level Accounting Full Scale Course
Presentation Rules For Partnership Appropriation Account (Exam Scoring)
- Heading Must State “Partnership Appropriation Account”
- Period Must Be Shown
- Profit Taken From Statement Of Profit Or Loss
- Residual Profit Clearly Distributed
- Totals Must Balance
Common Labels Used In Partnership Appropriation Account
- Profit For The Year
- Interest On Capital
- Interest On Drawings
- Partners’ Salaries
- Residual Profit
Compact Partnership Appropriation Account Template (Emergency)
Appropriation Account
Profit xxxx
± Interest On Drawings
− Interest On Capital
− Salaries
Residual Profit → Share
One-Glance Exam Template
Appropriation Account
Start With Profit
Apply Agreement
Share Residual Profit