Question

ankit unnati and aryan are partner sharing profits in the ratio of 5:3:2 they decided to share future profit in the ratio of2:3:5 with the effect from 1st April 2018 they had the following balance in there pass necessary journal entry particular profit and loss a/c dr 60500​

Answer 1

A journal entry is the record of a transaction of business in the firm's accounting books.

• The correct journal entry is -

Ankit's Capital A/c 30,250

Unnati's Capital A/c 18,150

Aryan's Capital A/c 12,100

To Profit & Loss A/c 60,500

( Being the P/L amount distributed at the time of ratio change)

Working Notes -

Capital amount after change in ratio

Aryan = 2/10 x 60,500 = 12,100

Unnati = 3/10 x 60,500 = 18150

Ankit = 5/10 x 60,500 = 30,250