Question

Following is the Balance Sheet of Amit and Vidya as at 31st March, 2017: On the above date Chintan was admitted as a partner for 1/4 share of the profits of the firm with the following terms: (i) Rs. 2,900 will be written off as bad debts. (ii) Stock was taken over by Vidya at Rs. 35,000. (iii) Goodwill of the firm was valued at Rs. 40,000. Chintan brought his share of goodwill premium in cash. (iv) Chintan brought proportionate capital and the capitals of the other partners were adjusted on the basis of Chintan's capital. For this, necessary cash was to brought in or paid off to the partners as the case may be. Prepare Revaluation Account and Partner's Capital Accounts.

Answer 1

Answer:

Revaluation gain is 4100

Partners capital a/c Amit 74550

Vidya 74550

Chintan 49700

Explanation: