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At the time of admission, the goodwill brought by the new partner may be credited to the capital accounts of __________. - Accountancy

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प्रश्न

At the time of admission, the goodwill brought by the new partner may be credited to the capital accounts of __________.

विकल्प

  • all the partners

  • the old partners

  • the new partner

  • the sacrificing partners

MCQ
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उत्तर

At the time of admission, the goodwill brought by the new partner may be credited to the capital accounts of the sacrificing partners.

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अध्याय 5: Admission of a partner - Multiple Choice questions [पृष्ठ १७१]

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सामाचीर कलवी Accountancy [English] Class 12 TN Board
अध्याय 5 Admission of a partner
Multiple Choice questions | Q I 5. | पृष्ठ १७१

संबंधित प्रश्न

Mrs Shehal and Mrs Meenal are equal partners in a business. Their balance sheet is as follows.

Balance Sheet as on 31st March 2013
Liabilities Amount Rs. Assets Amount Rs.

Capital A/c's

Snehal    80,000

Meenal   45,000

Creditors

General reserve

 

 

 

 

1,25,000

46,000

20,000

 

 

Premises

Investments

Equipments

Bills Receivable

Debtors      1,10,000

( - ) R.D.D.    11,000

Bank Balance

20,500

10,500

5,000

18,000

 

99,000

38,000

  1,91,000   1,91,000

They agreed to admit Mr Komal on 1st April 2013 on the following terms:

(1) Komal should bring Rs. 50,000 towards her capital for one fourth (1/4th) Share in future profit.

(2) Goodwill to be raised in the books of the firm for Rs. 40,000.

(3) R.D.D. to be maintained at 5% on debtors.

(4) Premises to be valued at Rs. 30,000 and equipment to be written off fully.

(5) Creditors allowed a discount of Rs. 1,000 and they were paid off immediately.

Prepare Profit and Loss Adjustment Account, Partner's Capital Accounts and Balance Sheet of the new firm.


The gradual and permanent decrease in the value of fixed assets due to any cause.


Answer in one sentence only.

What is revaluation account?


______ is credited when an unrecorded asset is brought into the business.


Write a word/phrase/term which can substitute the following statement.

An account that is debited when the partner takes over the asset.


The Balance Sheet of Sahil and Nikhil who share profits in the ratio of 3: 2 as on 31st March 2017

Balance Sheet as on 31st March 2017
Liabilities Amt. (₹) Amt. (₹) Assets Amt. (₹) Amt. (₹)
Creditors   60,000 Furniture   60,000

capitals:

 

 

Building  

72,000

Sahil

80,000

 

Debtors   40,000

Nikhil

1,00,000

1,80,000

Closing Stock   48,000
      Cash in Hand   20,000
    2,40,000     2,40,000

Varad admitted on 1St April 2017 on the following terms :

1. Varad was to pay 1,00,000 for his share of capital.

2. He was also to pay 40,000 as his share of goodwill.

3. The new profit sharing ratio was 3:2:3

4. Old partners decided to revalue the assets as follows:

Building 1,00,000, Furniture- 48,000, Debtors - 38,000 (in view of likely bad debts)

5. It was found that there was a liability for 3,000 for goods in March 2017 but recorded on 2nd April 2017.

You are required to prepare:

a) Profit and Loss adjustment accounts

b) Capital accounts of the partners

c) Balance sheet after the admission of Varad


Sundar and Suresh are partners sharing profits in the ratio of 3 : 2. Their balance sheet as on 1st January, 2017 was as follows:

Liabilities Assets
Capital accounts:     Buildings 40,000
Sundar 30,000   Furniture 13,000
Suresh 20,000 50,000 Stock 25,000
Creditors   50,000 Debtors 15,000
General reserve   10,000 Bills receivable 14,000
Workmen compensation fund   15,000 Bank 18,000
    1,25,000   1,25,000

They decided to admit Sugumar into partnership for 1/4 share in the profits on the following terms:

  1. Sugumar has to bring in ₹ 30,000 as capital. His share of goodwill is valued at ₹ 5,000. He could not bring cash towards goodwill.
  2. That the stock be valued at ₹ 20,000.
  3. That the furniture be depreciated by ₹ 2,000.
  4. That the value of building be depreciated by 20%.

Prepare necessary ledger accounts and the balance sheet after admission.


Karan and Saran are partners in a partnership. They admitted Mohit as a new partner for `1/4`th share in profits.

Balance Sheet [Extract]
Liabilities Amount
(₹)
Assets Amount
(₹)
Creditors 25,000    

If 5% of creditors are not likely to claim their dues, what amount of creditors will be shown in the Balance Sheet on Mohit's admission?


Indu, Vijay, and Pawan were partners in a firm sharing profits in the ratio of 4 : 3 : 3. They admitted Subhash into partnership with effect from 1st April, 2022. New profit sharing ratio among Indu, Vijay, Pawan, and Subhash will be 3 : 3 : 2 : 2. An extract of their Balance Sheet as at 31st March, 2022, is given below:

Liabilities Amount (₹) Assets Amount (₹)
Investment
Fluctuation Reserve
80,000 Investment (Market
Value ₹ 80,000)
90,000

Which of the following is the correct accounting treatment of ‘investment fluctuation reserve’ at the time of Subhash’s admission?


Hansa and Kavya share profits and losses in the ratio of 3: 2 respectively. Their Balance Sheet as on 31st March, 2023 was as under:

Balance Sheet as on 31st March, 2023
Liabilities Amount (₹) Assets Amount (₹)
Bills Payable 90,000 Cash at Bank 1,500
Reserve fund 60,000 Sundry Debtors 1,33,500
Capital A/c:   Stock 51,000
Hansa 2,16,000 Furniture 72,000
Kavya 1,44,000 Plant 1,80,000
    Building 72,000
  5,10,000   5,10,000

They admit Munir into partnership on 1-4-2023. The terms being that:

(1) He shall have to bring in ₹ 1,20,000 as his Capital for 1/4th share in future profits.

(2) Value of Goodwill of the firm is to be fixed at the average profits for the last three years.

The Profits were:

2019-20 ₹ 96,000
2020-21 ₹ 1,62,000
2021-22 ₹ 1,47,000

(3) Reserve for Doubtful debts is to be created at ₹ 3,000.

(4) Closing stock is valued at ₹ 45,000.

(5) Plant and Building is to be depreciated by 5%.

Prepare Profit and Loss Adjustment Alc, Capital Accounts of Partners and Balance Sheet of the new firm.


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