Question 27 Chapter 5 – Unimax Class 12 Part 1 – 2021
Table of Contents
27. Aditi and Charvi are partners sharing profits and losses in 3 : 2. Nidhi is admitted for 1/5th share in profit. Goodwill of the firm is valued at Rs. 175000. Nidhi paid Rs. 20000 out of her share of goodwill and Rs. 75000 as her capital. Pass necessary journal entries.
The solution of Question 27 Chapter 5 – Unimax Class 12 Part 1
Journal
| Date | Particulars | L.F. | Debit | Credit | |
| Cash a/c | Dr. | 95000 | |||
| To Nidhi’s Capital a/c | 75000 | ||||
| To Premium a/c | 20000 | ||||
| (Being Capital and goodwill brought in cash by new partner) | |||||
| Premium a/c | Dr. | 20000 | |||
| Nidhi’s Capital a/c | 15000 | ||||
| To Adhiti’s Capital a/c | 21000 | ||||
| To Charvi’s Capital a/c | 14000 | ||||
| (Being compensation paid transferred to old partner’s capital a/c in sacrificing ratio) |
Working Note
Nidhi’s share of goodwill = 175000 X 1/5 = Rs. 35000
Sacificing ratio = Old Ratio of partners = 3 : 2
What is Partnership – Meaning and Its 4 Types
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. 8 – Company Accounts – Accounting for Share Capital
- Chapter No. 9 – Company Accounts – Issue of Debentures
- Chapter No. 10 – Redemption of Debentures
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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