Sunaina and Tamanna are partners in a firm sharing profits and losses in the ratio of 3.2. Their Balance Sheet as at B 31st March, 2020 stood as follows:
Liabilities Capital Accounts:
Sunaina Tamanna
Current Accounts
Sunaina
Tamanna
General Reserve
Balance Sheet Amount Assets
Plant & Machinery Land and Building
1,40,000 Debtors
60,000 80,000
10,000 30,000
Workmen's Compensation Reserve
Creditors
Amount () 1,20,000
1,40,000
1,50,000
40,000
30,000
20,000
1,90,000
Less: Provision for Doubtful debts (40,000)
40,000. Stock
1,20,000 Cash
50,000 Goodwill
1,50,000
They agreed to admit Pranav into partnership for 1/5th share of profits on 1st April, 2020, on the following terms:
(a) All Debtors are good. (b) Value of land and building to be increased to 1,80.000.
(c! Value of plant and machinery to be reduced by 20,000. (d) The liability against Workmen's Compensation Fund is determined at 20,000 which is to be paid later in the
year. (e) Mr. Anil, to whom 40,000 were payable (already included in above creditors), drew a bill of exchange for 3 months which was duly accepted.
(4) Pranav to bring in capital of 1,00,000 and 10,000 as premium for goodwill in cash.
Journalize.
Or
Krish, Vrish and Peter are partners sharing profits in the ratio of 3:2:1. Vrish retired from the firm. On that date the Balance Sheet of the firm was as follows :
Balance Sheet as on March 31, 2020
0
15.000 Bank 12,000 Furniture
Liabilities
Assets
(
7,600 41,000
Creditors
General Reserve
Sample Paper - Accountancy (2020-21)
12,000 Stock
2,200 Premises 6,000 Debtors
46,000
30.000
20,000 1,43,200
Bills Payable
Outstanding Salary
Provision for Legal Damages
Capitals
Krish
Vrish Peter
Additional Information:
• Premises to be appreciated by 20%, Stock to be depreciated by 10% and Provision for doubtful debts was to be maintained @5% on Debtors. Further, provision for legal damages is to be increased by
1,200 and furniture to be brought up to 45,000.
Goodwill of the firm is valued at 42,000.
26,000 from Vrish's Capital account be transferred to his loan account and balance to be paid through bank, if required, necessary loan may be obtained from bank • New profit sharing ratio of Krish and Peter is decided to be 5:1.
Prepare Revaluation Account, Partners Capital Accounts and Balance Sheet.
Answers
answer pf retirement question
Concept :
A monetary record is a synopsis of the monetary places of an individual or an association in monetary bookkeeping, whether or not they are a sole ownership, a business association, an enterprise, a confidential restricted organization, or one more sort of association like the public authority or a not-for-benefit substance. An association's resources, liabilities, and investor value are recorded on an accounting report, which is a budget summary.
Explanation:
We have been given a question about balance sheet.
We have to write about it.
• An association's resources, liabilities, and investor value are recorded on an accounting report, which is a budget summary.
• One of the three essential budget reports used to survey an organization is the monetary record.
• It offers a preview of the resources and liabilities of an organization as of the distribution date.
Final answer:
An association's resources, liabilities, and investor value are recorded on an accounting report, which is a budget summary.
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