Question

Q2. Ram, Manohar and Param 3 points
were partners in firm. Param
died on 29th February, 2020.
His share of profit from the
closure of the last accounting
year till the date of death was
to be calculated on the basis
of the average of three
completed years of profits
before death. Profits for the
years ended 31st march, 2017,
2018 and 2019 were rs.
80,000, rs. 90,000 and rs.
1,00,000 respectively.
calculate param share of profit
till the date of death and pass
journal entry for the same
when ; (a) profit sharing ratio
of remaining partners does
not change and (b) profit
sharing ratio of remaining
partners change and new ratio
being 3:2.​

Answer 1

Explanation:

Ram, Manohar and Param 3 points

were partners in firm. Param

died on 29th February, 2020.

His share of profit from the

closure of the last accounting

year till the date of death was

to be calculated on the basis

of the average of three

completed yeal