Asha, Nisha and Disha shared profits and losses

6 :- Asha, Nisha, and Disha shared profits and losses in the ratio of 3 : 2 : 1 respectively. With effect from 1st April 2025, they agreed to share profits equally. The goodwill of the firm was valued at Rs 18,000.
Pass the necessary journal entries to record the above change.

Solution :-

WORKING NOTES :-
Old profit sharing ratio = 3:2:1
New profit sharing ratio = 1:1:1

Sacrifice/gain   = old share – new share
Asha = 3/6 – 1/3 = 1/6 (sacrifice)
Nisha = 2/6 – 1/3 = 0 (no change)
Disha = 1/6 – 1/3 = -1/6 (gain)

Goodwill = Rs 18,000
Asha’s share of goodwill = 18,000 x 1/6 = Rs 3,000 (credit)
Disha’s share of goodwill = 18,000 x 1/6 = Rs 3,000 (debit)