Rhea and Priya are partners in a firm sharing profita in the ratio of 3: 1. They admitted Kutty as a new partner for 3/8th share in the profits. New profit-sharing ratio will be 3:2:3. Kutty brought Rs 2,00,000 as his capital and Rs 50,000 as his share of premium for goodwill. The capitals of Rhea and Priya after all adjustments are Rs 4,64,100 and Rs 1,04,700 respectively.
Capitals of Rhea and Priya will be adjusted on the basis of Kutty's capital and any excess or deficiency will be made by withdrawing or bringing in cash by the concerned partner. For adjustment of capitals, withdrawing or bringing in cash by the partners will be
(a) Rhea brings Rs 2,64,100 and Priya withdraws Rs 28,634.
(b) Rhea brings Rs 28,634 and Priya withdraws Rs 2,64,100,
(c) Rhen withdraws Rs 2,64,100 and Priya brings Rs 28,634
(d) Rhen brings Rs 28,634 and Priya brings Rs 2,64,100.
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