Question

Q.8 X and Yare partners. They admitted Zas a new partner and new ratio will be 3:2:1. Their
Balance Sheet disclosed"Workmen Compensation Reserve "amounting to Rs.1,00,000 on this
date. Pass the entries, if
i)Claim for workmen compensation is estimated at Rs.1,20,000.
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ii)Claim for workmen compensation is estimated at Rs.90,000​

Answer 1

Answer:

1.Workmen compensation reserve a/c dr.. 100000

To Revaluation a/c dr.. 20000

To claim for workmen compensation reserve a/c . 120000

X's capital a/c dr... 10,000

Y's capital a/c dr. 6,666

Z's capital a/c dr.. 3,333

To Revaluation a/c 20,000

2..

workmen compensation reserve a/c dr.. 90,000

To provision for workmen compensation reserve a/c... 90,000