Question 07 Chapter 3 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 07 Chapter 3 of +2- Part-
Q-7 - CH-3 - Usha +2 Book 2018 - Solution

Question 07 Chapter 3 of +2-Part-1

7. (Profit & Loss on fixed asset are given) In a firm of partners X and Y, the following was the financial position:
2014: Profits Rs.30,000 (including profit on sale of land Rs.40,000)
2015: Loss Rs.25,000 (After crediting claim for loss of asset Rs.35,000)
2016: Profit Rs.50,000 (Before paying manager’s commission Rs.10,000)
2017: Profit Rs.40,000 (including loss on sale of plant Rs.10,000)
Goodwill is to be valued two times of average normal profit of last four years. Find out goodwill.

The solution of Question 07 Chapter 3 of +2 Part-1: – 

Day - 53 | Questions of Goodwill Ch. 3 Partnership - II | Accounts class 12 | PSEB | Sarbjit Singh |

Average Profit = Total Profit for past given years
    Number of years
     
  = (-10,000) + (-60,000) + 40,000 + 50,000
  4
     
  = 20,000
  4
     
  = 5,000

 

Number of years’ purchase = 2
Goodwill = Average Profit X Number of years’ purchase
Goodwill = 5,000 X 2
Goodwill = 10,000

Working Note : –

*1 Calculation of Profits of last three years

Adjusted Profit for 1st year = Total Profit −Interest on capital
  = 30,000 – 40,000
 
  = (-10,000)

 

Adjusted Profit for 2nd year = Total Profit – Claim for loss of asset
  = -(25,000) – 35,000
 
  = (-60,000)

 

Adjusted Profit for 3rd year = Total Profit − Interest on capital
  = 50,000 – 10,000
 
  = 40,000

 

Adjusted Profit for 3rd year = Total Profit − Interest on capital
  = 40,000 + 10,000
 
  = 50,000

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Check Out the Solution of all questions of this chapter:

The solution to all questions of Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation) Class 12 Usha Publication – 2024 is shown as follows, click on the image of the question to get the solution.

Question 01 Chapter 3 of +2- Part-
Question 01 Chapter 3 of +2-Part-1 Average Profit Method 1.  Rana and Soun are sharing profits 11:9 ratio. Their goodwill ...
Question 02 Chapter 3 of +2- Part-
Question 02 Chapter 3 of +2-Part-1 2. (Average Profit Method) Partner X is admitted in the firm of A and ...
Question 03 Chapter 3 of +2- Part-
Question 03 Chapter 3 of +2-Part-1 3. (Average Profit Method) Calculate goodwill at two years of purchase of average profits ...

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Question 04 Chapter 3 of +2- Part-
Question 04 Chapter 3 of +2-Part-1 4. (Average Profit Method) Rani purchased Vani’s business on 31st March 2015. The profit ...
Question 05 Chapter 3 of +2- Part-
Question 05 Chapter 3 of +2-Part-1 5. (Average Profit Method) Goodwill is to be valued at two years purchase of ...
Question 06 Chapter 3 of +2- Part-
Question 06 Chapter 3 of +2-Part-1 6. (Calculate goodwill when partners capital are given) A firm of partner A, B ...
Question 07 Chapter 3 of +2- Part-
Question 07 Chapter 3 of +2-Part-1 7. (Profit & Loss on fixed asset are given) In a firm of partners ...
Question 08 Chapter 3 of +2-Part-1 8. (Weighted Average Profit Method) The profits of Ram Mills for the last five ...
Question 09 Chapter 3 of +2- Part-
Question 09 Chapter 3 of +2-Part-1 9. (Weighted Average Profit Method) Calculate the value of goodwill of a firm on ...
Question 10 Chapter 3 of +2- Part-
Question 10 Chapter 3 of +2-Part-1 10. (Super Profit Method) A partnership firm earned net profits during the last three ...

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Question 11 Chapter 3 of +2- Part-
Question 11 Chapter 3 of +2- Usha 11. (Super Profit Method) A firm earned net profit during the last five ...
Question 12 Chapter 3 of +2- Part-
Question 12 Chapter 3 of +2-Part-1 12. (Super Profit Method) A firm has total assets of Rs.2,50,000 including cash of ...
Question 13 Chapter 3 of +2- Part-
Question 13 Chapter 3 of +2-Part-1 13. (Super Profit Method) X and Y have capital of Rs.1,00,000 and Rs.60,000.The reserve ...
Question 14 Chapter 3 of +2- Part-
Question 14 Chapter 3 of +2-Part-1 14. (Super Profit Method) Calculate goodwill at two years purchase of super-profits. Normal rate ...
Question 15 Chapter 3 of +2- Part-
Question 15 Chapter 3 of +2-Part-1 15. (Capitalisation Method) The average net profits expected in future by Ram Gopal and ...
Question 16 Chapter 3 of +2- Part-
Question 16 Chapter 3 of +2-Part-1 16. (Capitalisation Method) A firm earns Rs.1,00,000 as its annual profits, the rate of ...
Question 17 Chapter 3 of +2- Part-
Question 17 Chapter 3 of +2-Part-1 17. (Capitalisation Method) The average net profits expected in future by Ram Gopal and ...
Question 18 Chapter 3 of +2- Part-
Question 18 Chapter 3 of +2-Part-1 18. (Capitalisation of super profit) The assets of a firm are Rs.26,000 and liabilities ...

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Question 19 Chapter 3 of +2- Part-
Question 19 Chapter 3 of +2-Part-1 18. (Avg Profit/ Super Profit/Capitalisation method) The following information relates to a partnership firm: ...
Question 20 Chapter 3 of +2- Part-
Question 20 Chapter 3 of +2-Part-1 20. (Super Profit/Capitalisation method) A firm earns a profit of Rs.5,000 per year. The ...
Question 22 Chapter 3 of +2 Part-1 - USHA Publication 12 Class Part - 1
Question 22 Chapter 3 of USHA Publication 12 Class Part - 1 22. (Super Profit Method) A partnership firm earned ...
Question 24 Chapter 3 of +2 Part-1 - USHA Publication 12 Class Part - 1
Question 24 Chapter 3 of USHA Publication 12 Class Part - 1 24. (Calculation of Super Profits and Average Profits ...
Question 25 Chapter 3 of +2 Part-1 - USHA Publication 12 Class Part - 1
Question 25 Chapter 3 of USHA Publication 12 Class Part - 1 25. (Average Profits Method/When profits are given) B ...
Question 26 Chapter 3 of +2 Part-1 - USHA Publication 12 Class Part - 1
Question 26 Chapter 3 of USHA Publication 12 Class Part - 1 26. (Capitalisation of S.P./S.P. Method) A business has ...

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Chapter-Wise Solution of Usha Publication Accountancy – Part 1 Class 12 – Session 2024-25 as per the PSEB curriculum

Check out Solutions to all questions of the every chapter shown as under. The Solution of Accountancy – Part 1 Class 12 – Session 2024-25 is provided as per the new book published by Usha Publication.

Chapter No. 1 – Accounting Not-for-Profit Organisations (Deleted from the Syllabus)

Chapter No. 2 – Partnership Accounts – I (Introduction)

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Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation)

Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership)

Chapter No. 5 – Partnership Accounts – IV (Admission of A Partner)

Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner)

Chapter No. 7 – Partnership Accounts – VI (Dissolution of Partnership Firm)

Also, Check out our Comprehensive Chapter-wise solution of Advanced Accountancy Part 1 Class 12 by Unimax Publication

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