Question

A,B,C and D share profit in the retio of 3:2:3:2.A retire and the Goodwill of the firm is velued at rs. 120000 the remaining partner decide to share profit as 3:1:6 among themselve .give necessary journal entry for treatment of goodwill.

Answer 1

Answer:

Gaining ratio = B's 1/10 and D's 4/10

Sacrificing ratio = A's 3/10 and C's 2/10

Explanation:

B's Capital A/c Dr 12000

D's Capital A/c Dr 48000

To A's Capital A/c 36000

To C's Capital A/c 24000

Being B and D is debited due to these are gaining partner

Answer 2

Answer:

Gain B 1/10 ,D 4/10

C 2/10