X and Y are partners, having capital of ₹5,00,000 and ₹1,30,000 respectively shared the profit in the ratio 1:2. Interest on partner's capital will be provided at 10% p.a. Y is entitled to get the salary ₹1,000 p.m for being working partner additionally. Profit for the year was ₹60,000. Calculate the amount given to X and Y ?

"X- ₹40,000 Y - ₹20,000"

The correct answer is option 3- "X- ₹40,000 Y - ₹20,000"

Interest on capital:
X = 5,00,000 * 10/100
   = 50,000
Y = 1,30,000*10/100
   = 13,000

Salary to Y:
1,000 x 12
= 12,000

Total amount given to X = 50,000
Total amount given to Y = 13,000 + 12,000
                                      = 25,000
As the amount of profit is less than the total amount given to both partners. When Profit available is less than the amount of appropriation to be made, the available profit will be distributed in the ratio of appropriation to be made.
Appropriation ratio = 50,000 : 25,000
                              = 2:1

X share = 60,000 *2/3
             = 40,000
Y share = 60,000 * 1/3
             = 20,000