Question

Q.No.2:- Mrs. Reema and Mrs. See ma are equal partners in a business.
Their balance sheet is as follows:
Balance Sheet as on 31" March, 2013
Liabilities Amount
Assets
Amount
Capital A/cs:
Premises
20,500
Reema 80,000
Investments
10,500
Seema 45,000 1,25,000 Equipments
5,000
Creditors
46,000 Bills Receivable
18,000
General Reserve 20,000
Debtors 1,10,000
(-)R.D.D. 11,000 99,000
Bank Balance
38,000
1,91,000 Total
1,91,000
Total
They agreed to admit Mrs. Kalpana on 15 April, 2013 on the following
terms:
1) Kalpana should bring Rs. 50,000 towards her capital for one fourth
(1/4") share in future profit.
2) Goodwill to be raised in the books of the firm for Rs. 40,000.
3) R.D.D. to be maintained at 5% on debtors.
4) Premises to be valued at Rs. 30,000 and equipments to be written off
fully.
5) Creditors allowed a discount of Rs. 1,000 and they were paid off
Immediately.
Prepare : Profit and Loss Adjustment A/c, Partners' Capital Accounts and
Banalce Sheet of the new firm.​

Answer 1

Explanation:

Profit and Loss Appropriation a/c

(for the year ended 31st March,2018)

Dr. Cr.

Particulars Amount Particulars Amount

To Profit and Loss a/c 100000 By Interest on Drawings:

- Reema

- Seema

6000

6000

To Interest on Capital a/c

- Reema

- Seema

25000

25000 By Loss transferred to:

- Reema's Capital a/c

- Seema's Capital a/c

249000

249000

To Salary a/c

- Reema (15000*12)

- Seema (15000*12)

180000

180000

510000 510000