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Seenu and Siva are partners sharing profits and losses in the ratio of 5 : 3. In the view of Kowsalya admission, they decided

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प्रश्न

Seenu and Siva are partners sharing profits and losses in the ratio of 5 : 3. In view of Kowsalya admission, they decided

  1. To increase the value of building by ₹ 40,000.
  2. To bring into record investments at ₹ 10,000, which have not so far been brought into account.
  3. To decrease the value of machinery by ₹ 14,000 and furniture by ₹ 12,000.
  4. To write off sundry creditors by ₹ 16,000.

Pass journal entries and prepare a revaluation account.

रोजकीर्द नोंद
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उत्तर

Journal Entries

Date Particulars L.F. Debit
Credit
  Revaluation A/c ..............Dr.
To Machinery A/c
To Furniture A/c
(Loss items entered in the debit side)
  26,000
-
-
-
14,000
12,000
  Building A/c .............Dr.
Investment A/c ...............Dr.
Sundry Creditors A/c ..................Dr.
To Revaluation A/c
(Profit items entered in credit side)
  40,000
10,000
16,000
-
-
-
-
66,000
  Revaluation A/c ............Dr.
To Seenu's Capital A/c
To Siva's Capital A/c
(Profit of revaluation A/c transferred to old partners capital old ratio)
  40,000
-
-
-
25,000 15,000

 

Dr. Revaluation Account Cr.
Particulars Particulars
To Machinery A/c 14,000 By Building A/c 40,000
To Furniture A/c 12,000 By Investment A/c 10,000
To Seenu's Cap. 25,000   By Sundry Creditors A/c 16,000
To Siva's Cap. 15,000 40,000    
    66,000   66,000
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पाठ 5: Admission of a partner - Exercises [पृष्ठ १७४]

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सामाचीर कलवी Accountancy [English] Class 12 TN Board
पाठ 5 Admission of a partner
Exercises | Q IV 5. | पृष्ठ १७४

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.


If the asset is taken over by the partner ______ account is debited.


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

An account opened to adjust the value of assets and liabilities at the time of admission of a partner.


The stock showed in Balance Sheet → Stock undervalued by 20% → Cost of Stock

₹1,60,000  → __________→ __________


Vrushali and Leena are equal partners in the business. Their Balance sheet as on 31 March 2018 stood as under.

Balance Sheet as on 31 March 2018
Liabilities Amt. (₹) Amt. (₹) Assets Amt. (₹) Amt. (₹)
Sundry Creditors 90,000 90,000 Cash in Bank   62,000
Capitals:     Debtors 31,000  
Vrushali 45,000 75,000 Less: R.D.D 1,000 30,000
Leena 30,000   Building   55,000
General Reserves   18,000 Machinery   24,000
      Bills Receivable   12,000
    1,83,000     1,83,000

They decided to admit Aparna on 1st April 2018 on the following terms:

1. The Machinery and Building be depreciated by 10%. Reserve for Doubtful Debts to be increased by ₹ 5,000

2. Bills Receivable are taken over by Vrushali at the discount of 10%

3. Aparna should bring Rs. 60,000 as capital for her 1/4th share in future profits.

4. The capital accounts of all the partners be adjusted in proportion to the new profit-sharing ratio by opening the current accounts of the partners.

Prepare Profit and Loss Adjustment A/c, Partner’s Capital A/c, Balance sheet of the new firm.


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


Anbu and Shankar are partners in a business sharing profits and losses in the ratio of 7 : 5. The balance sheet of the partners on 31.03.2018 is as follows:

Liabilities Assets
Capital accounts:     Computer 40,000
Anbu 4,00,000   Motor car 1,60,000
Shankar 3,00,000 7,00,000 Stock 4,00,000
Profit and loss   1,20,000 Debtors 3,60,000
Creditors   1,20,000 Bank 40,000
Workmen compensation fund   60,000    
    10,00,000   10,00,000

Rajesh is admitted for 1/5 share on the following terms:

  1. Goodwill of the firm is valued at ₹ 80,000 and Rajesh brought cash ₹ 6,000 for his share of goodwill.
  2. Rajesh is to bring ₹ 1,50,000 as his capital.
  3. Motor car is valued at ₹ 2,00,000; stock at ₹ 3,80,000 and debtors at ₹ 3,50,000.
  4. Anticipated claim on workmen compensation fund is ₹ 10,000
  5. Unrecorded investment of ₹ 5,000 has to be brought into account.

Prepare revaluation account, capital accounts and balance sheet after Rajesh’s admission.


If at the time of admission, there is some unrecorded liability, it will be:


Following is the Balance Sheet of Mukesh and Anil sharing profit and losses in the ratio of 3:2 as on 31st March, 2019.

Balance Sheet as on 31st March, 2019
Liabilities   Amount (₹) Assets   Amount (₹)
Capital A/c:     Building   72,000
Mukesh 80,000 1,80,000 Plant & Machinery   60,000
Anil 1,00,000 Stock   48,000
Sundry Creditors   60,000 Debtors 42,000 40,000
Bills Payable   10,000 Less: RDD 2,000
      Bank   20,000
      Furniture   10,000
    2,50,000     2,50,000

On 1st April, 2019 Neeta is admitted on the following terms:

  1. She will pay ₹ 1,00,000 of her capital and ₹ 40,000 as her share of Goodwill.
  2. The new profit sharing ratio is to be 5 : 3 : 2.
  3. The assets are to be revalued as under: Building ₹ 1,00,000, Plant & Machinery ₹ 48,000.
  4. RDD to be increased up to ₹ 4,000.
  5. The old partners decided to retain half of the amount of goodwill in the business.
  6. Sundry creditors should be revalued at ₹ 66,000.

Give Revaluation Account, Capitals Accounts and Balance Sheet of New firm.


Radhika and Vijay were in Partnership Sharing profits & Losses in proportion of 3:2 respectively. Their Balance Sheet as on 31st March, 2020 stood as follows.

Balance Sheet as on 31st March, 2020
Liabilities   Amount (₹) Assets Amount (₹)
Capital A/cs:     Premises 2,80,000
Radhika 2,00,000 3,20,000 Furniture and Fixture 22,800
Vijay 1,20,000 Stock 54,000
Current A/cs:      Debtors 18,200
Radhika 2,400 5,200 Cash at bank 2,200
Vijay 2,800    
Loan from Omkar Balu   40,000    
Creditors   12,000    
    3,77,200   3,77,200

On 1st April, 2019 Omkar was admitted to the firm on the following terms:

  1. Premises were to be valued at ₹ 3,40,000 and Furniture and Fixtures at ₹ 20,800. A provision for Bad debts on 2,000 was to be made. Stock should be revalued at ₹ 58,000.
  2. Omkar Should bring in ₹ 80,000 as Capital and ₹ 20,000 as his share of goodwill and it was retained in the business and he should be given one-fourth share in the future profits.
  3. The Loan from Omkar Balu was repaid through NEFT.

Prepare Revaluation Account, Partners Current Accounts and Balance sheet of the New firm.


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