Question

25. The Balance Sheet of Sadhu, Raja and Karan who were sharing profits in the ratio of 4:2:4 as at 31st March
7.32 Double Entry Book Keeping-CBSE XII
2012 was as follows:
BALANCE SHEET as at 31st March, 2012
₹
Assets
Liabilities
10,000
20,000
22,000
General Reserve
Bill Payable
Loan
Capital A/cs:
Sadhu
Raja
Karan
Cash
Stock
Investments
Land and Building
Sadhu's loan
26,000
64,000
85,000
97,000
20,000
80,000
60,000
1,00,000
2,40,000
2,92,000
2,92,000
Sadhu died on 31st July, 2012. The Partnership Deed provided for the following on the death of a partner
(i) Goodwill of the firm be valued at two years' purchase of average profits for the last three years,
(ii) Sadhu's share of profit or loss till the date of his death was to be calculated on the basis of sales. Sales
for the year ended 31st March, 2012 amounted to 4,50,000 and that from 1st April to 31st July 2012
to * 2,70,000. The profit for the year ended 31st March, 2012 was calculated as # 1,25,000.
(iii) Interest on capital was to be provided @ 5% p.a.
(iv) The average profits of the last three years were 55,000.
Prepare Sadhu's Capital Account to be rendered to his executor.
(Delhi 2013, Modihed
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invidactar​

Answer 1

Answer:

In financial accounting, a balance sheet or statement of financial position or statement of financial condition is a summary of the financial balances of an individual or organization, whether it be a