Question

Riya, sherya and Nitya are partners sharing profits in the ratio of 1:2:3.Nitya retires and her
capital, after making all adjustments for reserves and profits on revaluation stands at Rs 4,40,000.Riya
and shreya agreed to pay her Rs 5,00,000 in full settlement of her claim. Record necessary journal
entries for treatment of goodwill if new profit sharing ratio is decided at 1:3.​

Answer 1

Answer:

Working Notes:

Manisha’s share in goodwill = 1,80,000 X 2/6 = Rs. 60,000

Gaining ratio = New ratio – Old ratio

Aparna = 3/5 – 3/6 = 18 – 15/30 = 3/30

Sonia = 2/5 – 1/6 = 12 – 5/30 = 7/30

Or 3: 7

Aparna’s share of goodwill = 60,000 X 3/10 = Rs. 18,000

Sonia’s share of goodwill = 60,000 X 7/10 = Rs. 42,000

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