Advertisements
Advertisements
Question
A and B are partners in a firm. They admit C as a partner with 1/5th share in the profits of the firm. C brings ₹ 4,00,000 as his share of capital. Their Balance Sheet shows that A's capital is ₹ 5,00,000 and B's capital is ₹ 3,50,000. General Reserve appearing in the books is ₹ 2,00,000 and loss on revaluation is ₹ 50,000. C’s share of hidden goodwill will be ______.
Fill in the Blanks
Advertisements
Solution
A and B are partners in a firm. They admit C as a partner with 1/5th share in the profits of the firm. C brings ₹ 4,00,000 as his share of capital. Their Balance Sheet shows that A's capital is ₹ 5,00,000 and B's capital is ₹ 3,50,000. General Reserve appearing in the books is ₹ 2,00,000 and loss on revaluation is ₹ 50,000. C’s share of hidden goodwill will be ₹ 1,20,000.
shaalaa.com
Is there an error in this question or solution?
