# Question 42 Chapter 6 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Question 42 Chapter 6 of +2-A

Question 42 Chapter 6 of +2-A

42. Rakesh retired from the firm. The amount due to him was determined at
90,000. It was decided to pay the due amount as follows:
On the date of retirement − 30,000
Balance in three yearly instalments − The first two instalments being of 26,000, including interest; and Balance amount as the last instalment.
Interest was payable @ 10 p.a. Prepare retiring Partners’ Loan Account.

## The solution of Question 42 Chapter 6 of +2-A: –

 Y’s Loan Account Date Particular Amount Date Particular Amount Year I To Bank A/c 26,000 Year I By Y’s Capital A/c 60,000 (20,000 + 6,000) To Balance C/d 40,000 By Interest on Loan A/c 6,000 66,000 60,000 × 10/100 66,000 Year II To Bank A/c 26,000 Year II By Balance B/d 40,000 (22,000 + 4,000) By Interest on Loan A/c 4,000 To Balance C/d 18,000 40,000 × 10/100 44,000 44,000 Year III To Bank A/c 19,800 Year III By Balance B/d 18,000 (18,000 + 1,800) By Interest on Loan A/c 1,800 18,000 × 10/100 19,800 19,800

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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