65 :- Divya, Yasmin and Fatima are partners in a firm, sharing profits and losses in the ratio of 11:7:2 respectively. The balance sheet of the firm on 31st March, 2018, was as follows
On 1st April, 2018, Aditya is admitted as a partner for one-fifth share in the profits with a capital of Rs 4,50,000 and necessary amount for his share of goodwill on the following terms
(a) Furniture of Rs 2,40,000 were to be taken over Divya, Yasmin and Fatima equally.
(b) A creditor of Rs 7,000 not recorded in books to be taken into account.
(c) Goodwill of the firm is to be valued at 2.5 years purchase of average profits of last two years. The profits of the last three years were
2015-16 – Rs 6,00,000; 2016-17 – Rs 2,00,000; 2017-18 – Rs 6,00,000
(d) At time of Aditya’s admission. Yasmin also brought in Rs 50,000 as fresh capital.
(e) Plant and machinery is re-valued to Rs 2,00,000 and expenses outstanding were brought down to Rs 9,000
Prepare revaluation account, Partner’s capital accounts and the balance sheet of the reconstituted firm.
66 :- A and B are partners in a firm. Net profit of the firm is divided as follows; 1/2 to A, 1/3 to B and 1/6 carried to a reserve. They admit C as a partner on 1st April, 2025 on which date, the Balance Sheet of the firm was
Following are the required adjustments on admission of C
(a) C brings in Rs 25,000 towards his capital.
(b) C also brings in Rs 5,000 for 1/5th share of goodwill.
(c) Stock is undervalued by 10%.
(d) Creditors include a liability of Rs 4,000 which has been decided by the court at Rs 3,200.
(e) In regard to the debtors, the following debts proved Bad or Doubtful
Rs 2,000 due from X – bad to the full extent
Rs 4,000 due from Y – insolvent, estate expected to pay only 50%
You are required to prepare Revaluation account, partner’s capital accounts and balance sheet of the new firm.
67 :- Deepika, and Rajshree are partners in a firm sharing profits and losses in the ratio of 3:2. On 31st March, 2025 their balance sheet was
On 1st April 2025, the partners admit Anshu as a partner on the following terms;
(a) New profit sharing ratio of Deepika, Rajshree and Anshu will be 5:3:2
(b) Anshu shall bring in Rs 32,000 as his capital.
(c) Anshu is unable to bring his share of goodwill. Partners, therefore, decide to calculate the goodwill on the basis of Anshu’s share in the profits and the capital contribution made by her to the firm.
(d) Plant and machinery is to be valued at Rs 60,000. Stock at Rs 40,000 and the provisions for doubtful debts is to be maintained at Rs 4,000. Value of land and building has appreciated by 20%. Furniture has been depreciated by 10%.
(e) There is an additional liability of Rs 8,000 being outstanding salary payable to employees of the firm. This liability is not included in the outstanding liabilities, stated in the above balance sheet. Partners decide to show this liability in the books of accounts of the reconstituted firm.
Prepare revaluation account, partners capital account and the balance sheet of Deepika, Rajshree and Anshu.
68 :- Sunaina and Tamanna are partners in a firm sharing profits and losses in the ratio of 3:2. Their balance sheet as at 31st March,2020 stood as follows
They agreed to admit Pranav into partnership for 1/5th share of profits on 1st April 2020, on the following terms
(a) All debtors are good.
(b) Value of land and building to be increased to Rs 1,80,000.
(c) Value of plant and machinery to be reduced by Rs 20,000.
(d) The liability against workmen’s compensation reserve is determined at Rs 20,000 which is to be paid later in the year.
(e) Anil, to whom Rs 40,000 were payable (already included in above creditors), drew a bill of exchange for 3 months which was duly accepted.
(f) Paranav to bring in capital of Rs 1,00,000 and Rs 10,000 as premium for goodwill in cash.
Journalise.
Question 1 to 5 (Calculation of New Profit – Sharing Ratio and Sacrificing Ratio)
Question 6 to 10 (Calculation of New Profit – Sharing Ratio and Sacrificing Ratio)
Question 11 to 14 (Calculation of New Profit – Sharing Ratio and Sacrificing Ratio)
Question 15 to 18 (Calculation of New Profit – Sharing Ratio and Sacrificing Ratio)
Question 19 to 23 (Goodwill/Premium for Goodwill is brought in Cash by the New Partner and Retained in the Business)
Question 24 to 28 (Goodwill/Premium for Goodwill is brought in Cash by the New Partner and Retained in the Business)
Question 29 (Premium for Goodwill brought in Kind)
Question 30 to 32 (When Premium for Goodwill is brought by New or Incoming Partner and is withdrawn by Old Partners Fully or Partly)
Question 33 to 34 (When Only Part of Premium for Goodwill is brought by New Partner)
Question 35 to 36 (When New or Incoming Partner is not able to bring his Share of Premium for Goodwill)
Question 37 to 41 (Hidden Goodwill)
Question 42 to 46 (Revaluation of Assets and Reassessment of Liabilities)
Question 47 to 50 (Revaluation of Assets and Reassessment of Liabilities)
Question 51 to 54 (Reserves and Accumulated Profits/Losses and Preparation of Revaluation Account)
Question 55 to 56 (Preparation of Revaluation Account and Partner’s Capital Accounts)
Question 57 to 60 (Preparation of Revaluation Account, Partner’s Capital Accounts and Balance Sheet)
Question 61 to 64 (Preparation of Revaluation Account, Partner’s Capital Accounts and Balance Sheet)
Question 65 to 68 (Preparation of Revaluation Account, Partner’s Capital Accounts and Balance Sheet)
Question 69 to 73 (Adjustments of the Old Partner’s Capitals on the Basis of New or Incoming Partner’s Capital)
Question 74 to 76 (When the New Partner is required to bring Proportionate Capital)
Question 77 to 78 (When New Partner has to bring Capital on the basis of Combined Capitals of Old Partners)