To determine Hamed's share of the profit in the partnership between Halidu and Hamed, we need to analyze the situation step by step. Given Information:

• Halidu's Capital: N30,000
• Hamed's Capital: N20,000
• Total Profit: N12,000
• Halidu's Salary: N3,000

Step 1: Understanding Profit Distribution In a partnership, profits are typically distributed among partners based on their capital contributions and any agreed-upon salaries or allowances. In this case, Halidu has a salary of N3,000 included in the total profit of N12,000. Step 2: Calculate Remaining Profit After Salary First, we need to determine how much profit is left after paying Halidu's salary: - Remaining Profit = Total Profit - Halidu's Salary - Remaining Profit = N12,000 - N3,000 = N9,000 Step 3: Determine Profit Sharing Ratio Next, we need to establish the profit-sharing ratio based on their capital contributions. The total capital is: - Total Capital = Halidu's Capital + Hamed's Capital - Total Capital = N30,000 + N20,000 = N50,000 Now, we can find the ratio of their capital contributions: - Halidu's Share = N30,000 / N50,000 = 3/5 - Hamed's Share = N20,000 / N50,000 = 2/5 Step 4: Calculate Hamed's Share of the Remaining Profit Now we can calculate Hamed's share of the remaining profit: - Hamed's Share of Remaining Profit = Remaining Profit × Hamed's Share Ratio - Hamed's Share of Remaining Profit = N9,000 × (2/5) = N3,600 Step 5: Total Profit Share for Hamed Hamed's total share of the profit will be his share of the remaining profit: - Hamed's Total Share = Hamed's Share of Remaining Profit = N3,600 Step 6: Understanding the Correct Option Now, let's analyze the options provided: - A. Credited to partners' capital account: This option is incorrect because the profit share is not directly credited to the capital account; it is typically recorded in the current account. - B. Credited to partners' current account: This is the correct option. Hamed's share of the profit (N3,600) will be credited to his current account, which reflects the profits earned and any withdrawals made by the partners. - C. Credited to appropriation account: This option is incorrect because the appropriation account is used to show how profits are distributed, but the actual credit to Hamed's share occurs in the current account. - D. Debited to partners' drawing account: This option is incorrect because Hamed's share of the profit is not a withdrawal; it is an addition to his current account. Summary of the Correct Answer

• Correct Option: B (Credited to partners' current account)
• Hamed's share of the profit is credited to his current account, reflecting his earnings from the partnership.

Revision Summary

• Profit distribution in partnerships considers capital contributions and any salaries.
• Remaining profit after salaries is shared based on the profit-sharing ratio.
• Hamed's share of the profit is credited to his current account, not the capital account.
• Understanding the roles of capital and current accounts is crucial in partnership accounting.