Accountancy, asked by shivaniAcharya, 9 months ago

on 1st january, 2019 , A and B , sharing profits in the ratio of tow third and one-third respectively agree to admit C into partnership on condition that he pays $30,000 as capital and $90,000 for one-sixth share of goodwill which he acquires equally from A and B. Give necessary journal entries to record these transactions. ​

Answers

Answered by GarvKothari
15

Answer:

Cash/ Bank A/C Dr 45000

To C's Capital A/C 30000

To Premium For Goodwill A/C 15000

(Being Capital and Premium for goodwill bought)

Premium For Goodwill A/C Dr 15000

To A's Capital A/C 10000

To B's Capital A/C 5000

(Being Premium For Goodwill distributed)

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