Question 40 Chapter 5 of +2-Part-1
40. ( Revaluation A/c/Partners Cap. A/c/B/S) The following was the Balance sheet of A and B who were sharing profits in 2:1 :
|General reserve||30,000||Plant and machinery||35,000|
|B||20,000||50,000||Cash in hand||1,200|
C is admitted into partnership on the following terms :
- C was to bring Rs. 15,000 as his capital and Rs. 6,000 as goodwill for one-fourth share in the firm.
- That value of the stock, plant and machinery was to be reduced by 5%.
- That a reserve was created in respect of sundry debtors Rs. 750.
- That the building was to be appreciated by 10%.
- That goodwill money was to be retained in the business account.
Prepare profit and loss adjustment account (Re-valuation Account ). Partners capital accounts and the balance sheet of the new firm.
The solution of Question 40 Chapter 5 of +2 Part-1: –
|To Stock||1,000||By Buildings||5,000|
|To Plant and Machinery||1,750|
|To Provision for doubtful debts||750|
|To Revaluation Profit|
|– A 2/3||1,000|
|– B 1/3||500||1,500|
|Partners’ Capital Account
|By Balance b/d||30,000||20,000||–|
|By General Resources||20,000||10,000||–|
|By Bank A/c||–||–||15,000|
|By Revaluation A/c||1,000||500||–|
|By Premium A/c||4,000||2,000|
|To Balance c/d||55,000||32,500||15,000|
|Plant and machinery||33,250|
|C||15,000||1,02,500||Cash in hand||1,200|
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Also, Check out the solved question of previous Chapters: –
Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution
- Chapter No. 1 – Accounting Not for Profit Organisations
- Chapter No. 2 – Partnership Accounts – I (Introduction)
- 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)
- Chapter No. 8 – Company Accounts (Share Capital)
- Chapter No. 9 – Company Accounts (Issue of Debentures)
- Chapter No. 10 – Company Accounts (Redemption of Debentures)
Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution
- Chapter No. 1 – Financial Statements of a Company
- Chapter No. 2 – Financial Statement Analysis
- Chapter No. 3 – Tools of Financial Statement Analysis- Comparative and Common Size
- Chapter No. 4 – Ratio Analysis
- Chapter No. 5 – Cash Flow Statement