Find the right chronological sequence of the appropriation of profits in a partnership firm:A. Profits transferred to P and L appropriation A/c.B. Interest on capitalC. Profits distributed to partners after appropriationD. Interest on partner's loan A/cChoose the correct answer from the options given below:

The process of handling profits follows this order:Interest on partner's loan (D): This is a charge against profits and must be debited to the regular Profit and Loss Account before net profit is finalized.Transfer to P&L Appropriation A/c (A): The net profit calculated after all charges is transferred here.Interest on Capital (B): This is an appropriation item computed out of the net profit inside the Appropriation A/c.Final distribution of profits (C): The remaining divisible profits are distributed among partners in their profit-sharing ratio.Hence, the sequence is D, A, B, C.