Question

Radha, Tina and Reeta were partners sharing profits equally. Rita died on 31st July, 2020. Radha and Tina

decided to continue the business. Share of profit or loss of the deceased partner from the beginning of the year up to the date of death was to be determined on the basis of last year's profit, which was 4,50,000
Pass necessary Journal entry to record Reeta's share of profit/loss up to the date of death.

Answer 1

since no par is given to use so take the ratio as one is to one is to one.

Answer 2

Answer:

Explanation:

Financial year 1 april 2020 to 31st march 2021

Profit  sharing ratio ( radha , Tina and Reeta) is 1:1:1

share of profit of rita upto 31 july 2020 on the basis of last year profit

= 450000 * 4/12 * 1/3

= Rs. 50000

                                                                                                                                   

                                 JOURNALS   ENTRY                                                              

31 JULY   Profit and loss  A/c                         50000

                       To  Reeta's capital A/c                                        50000

              ( Being share of profit of Reeta till 31 july 2020

                   transferred to her capital a/c)