Which of the following is not mentioned in the Profit and Loss Appropriation A/c of a partnership firm?

A) Interest on drawings
B) Opening balance of capital
C) Salary to partner
D) Commission to partner
E) Interest on capital
F) Net profit of profit & loss A/c

Choose the correct answer from the options give below.

B only

The correct answer is option 1- B only.

A) Interest on drawings- Credit side of Profit and Loss Appropriation A/c
B) Opening balance of capital- Credit side of Capital A/c
C) Salary to partner- Debit side of Profit and Loss Appropriation A/c
D) Commission to partner- Debit side of Profit and Loss Appropriation A/c
E) Interest on capital- Debit side of Profit and Loss Appropriation A/c
F) Net profit of profit & loss A/c- Credit side of Profit and Loss Appropriation A/c

Profit and Loss Appropriation Account is merely an extension of the Profit and Loss Account of the firm. It shows how the profits are appropriated or distributed among the partners. All adjustments in respect of partner’s salary, partner’s commission, interest on capital, interest on drawings, etc. are made through this account. It starts with the net profit/net loss as per Profit and Loss Account.