P , Q and R commenced business on 1st April , 2018 with capitals of : P - ₹ 2,00,000 , Q - ₹ 2,00,000 and R - ₹ 1,00,000 .
Profits are shared in the ratio of ` 4 : 3 : 3 ` . Capital carried interest @ 5% p.a. During the year 2018-19 , the firm suffered a loss of ₹ 1,50,000 before allowing interest on capital. Drawings of each partner during the year were ₹ 20,000.
On 31st March , 2019, the partners agreed to dissolve the firm as it was no longer profitable . The creditors on that date were ₹ 40,000 . The assets realised a net value of ₹ 3,20,000 and the expenses of realisation were ₹ 7,000 .
Prepare Realisation Account , Partner's Capital Accounts and Cash Account along with necessary working to close the books of the firm .

Explanation

Working Notes : 1. Calculation of Partner's Capitals as on 31st March , 2019 , i.e., date of dissolution .

2. In case of loss , interest on capital will not be allowed .
3. Calculation of Sundry Assets as on 31st March , 2019: