# Question 19 Chapter 5 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Question 19 Chapter 5 of +2-A

19. A and B are partners sharing profits and losses in the ratio of 2 : 1. They take C as a partner for 1/5th share. Goodwill Account appears in the books at 15,000. For the purpose of C’s admission, goodwill of the firm is valued at 15,000. C is to pay proportionate amount as premium for goodwill which he pays to A and B privately. Pass necessary entries

The solution of Question 19 Chapter 6 of +2-A

 Date Particulars L.F. Debit Credit A’s Capital A/c Dr 10,000 B’s Capital A/c Dr 5,000 To Goodwill A/c 15,000 (Being Goodwill written-off between A and B in the old ratio of 2:1)

Working Note: Goodwill Written-off

 A’s Capital will be debited by = 15,000 X 2 3 = Rs 10,000

 B’s Capital will be debited by = 15,000 X 1 3 = Rs 5,000

### T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

• Chapter No. 1 – Financial Statement of Not-For-Profit Organisations
• Chapter No. 2 – Accounting for Partnership Firms – Fundamentals
• Chapter No. 3 – Goodwill: Nature and Valuation
• Chapter No. 4 – Change in Profit-Sharing Ratio Among the Existing Partners
• Chapter No. 5 – Admission of a Partner
• Chapter No. 6 – Retirement/Death of a Partner
• Chapter No. 7 – Dissolution of a Partnership Firm

### T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

• Chapter No. 1 – Financial Statements of a Company
• Chapter No. 2 – Financial Statement Analysis
• Chapter No. 3 – Tools of Financial Statement Analysis – Comparative Statements and Common- Size Statements
• Chapter No. 4 – Accounting Ratios
• Chapter No. 5 – Cash Flow Statement

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