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.
7 :- X, Y and Z are partners sharing profits equally. They decided that in future Z will get 1/5th share in profits. On the day of change, Firm’s goodwill is valued at Rs 30,000. Give journal entry arising on account of change in Profit – sharing Ratio.
8 :- X, Y and Z are partners sharing profits and losses in the ratio of 5 : 3 : 2. From 1st April 2025, they decided to share profits and losses equally. The Partnership Deed provides that in the event of any change in the profit sharing ratio, goodwill is to be valued at two years’ purchase of the average profit of the preceding five years. The Profits and losses of the preceding years ended 31st March are:
Calculate the value of goodwill and pass journal entry.
9 :- Ram, Laxman and Bharat who were sharing profits and losses in the ratio of 5 : 3 : 2, decide to share profits and losses equally with effect from 1st April, 2025. The goodwill of the firm is valued at Rs 4,50,000. Goodwill is appearing in the books is at Rs 75,000.
Pass necessary journal entries to record the transaction.
10 :- A and B are partners in a firm sharing profits in the ratio of 2 : 1. They decided that with effect from 1st April 2024, they would share profits in the ratio of 3 : 2. But, this decision was taken after the profit for the year ended 31st March 2025 of Rs 90,000 was distributed in the old profit sharing ratio.
Firm’s goodwill was valued on the basis of aggregate of two year’s profits preceding the date decision became effective.
Profits for the years ended 31st March 2023 and 2024 were Rs 60,000 and Rs 75,000 respectively. Capital Accounts of the partners as at 31st March 2025 stood at Rs 1,50,000 for A and Rs 90,000 for B.
Pass necessary journal entries and prepare partner’s capital accounts.
Question 1 to 4 (Sacrificing and Gaining Share)
Question 5 (Calculation of Old Profit – Sharing Ratio on the basis of Sacrificing and Gaining share)
Question 6 to 10 (Accounting of goodwill)
Question 11 (Calculation of New Profit – sharing ratio on the basis of Adjustment of goodwill)
Question 12 to 16 (Accounting of Reserves, Accumulated Profits and Losses)
Question 17 to 20 (Accounting of Reserves, Accumulated Profits and Losses)
Question 21 to 24 (Accounting of Reserves, Accumulated Profits and Losses)
Question 25 to 28 (Revaluation of Assets and Reassessment of Liabilities)
Question 29 to 30 (Preparation of Balance Sheet)
Question 31 to 32 (Adjustment of capital)