COMPREN
. (Revaluation/Capital Balance SheetGoodwill is brought in Cash) A and B are
partners in a firm sharing profits an the ratio of 2:1 Cie admitted into the firm with th
share so profits. He will bring * 30,000 as his expual, the Balance Sheet of A and B as a
31.3.2017 was as under:
Say Colors
Grew Resone
Capeals
8 000 Bank
4.000
Debtors
6,000 Stock
Furniture
Machinery
82,000 Building
1,00 000
12.000
8.000
10.000
5.000
25 000
40.000
100.000
52.000
30.000
Other terms of the agreement are as ander:
n C will bring in 12.000 as his share of goodwill.
b) A provision for bad debts is to be created a 6% on debtors.
() Building was valued as ? 45,000 and Machinery at 23.000.
Prepare Revaluation Account. Partner's Capital Accounts and the Balance sheet of the new
Answers
Answer:
see below
Explanation:
evaluation Account
Dr.
Cr.
Particulars
Amount
Rs
Particulars
Amount
Rs
Reserve for D. Debts
2,500
Creditors
7,500
Liability for WCF 10,000
Loss transferred to
X’s Current A/c
2,500
Y’s Current A/c
2,500
12,500
12,500
Partners’ Current Accounts
Dr.
Cr.
Particulars
X Y
Particulars
X Y
Revaluation A/c
2,500
2,500
Balance b/d
40,000
30,000
Balance c/d
37,500
27,500
40,000
30,000
40,000
30,000
Partners’ Capital Accounts
Dr.
Cr.
Particulars
X Y Z
Particulars
X Y Z
Balance b/d
1,50,000
1,00,000
Current A/c 37,500 27,500
Balance c/d
1,87,500 1,27,500
1,25,000
Bank
1,25,000
1,87,500 1,27,500
1,25,000
1,87,500 1,27,500
1,25,000
Balance Sheet
as on 1st April, 2018
Liabilities
Amount
Rs
Assets
Amount
Rs
Creditors (1,30,000 – 7,500 – 20,000)
1,02,500
Land and Building
1,50,000
Bills Payable (50,000 + 20,000)
70,000
Plant and Machinery
1,00,000
Capital A/cs:
Fixture and Fittings
25,000
X
1,87,500
Stock 75,000
Y
1,27,500
Bills Receivables
30,000
Z
1,25,000
4,40,000
Bank (50,000 + 1,25,000 + 50,000)
2,25,000
X's Loan
50,000
Debtors
75,000
Liability for WCF
10,000
Less: 10% Reserve for D. Debts
7,500
67,500
6,72,500
6,72,500