# Question 43 Chapter 6 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Q-43 - CH-6 - T.S. Grewal +2 Book 2019 - Solution-min

Question 43 Chapter 6 of +2-A

43. X, Y, and Z are partners in a firm sharing profits in the ratio of 3: 2: 1. On 1st April 2009, Y retires from the firm. X and Z agree that the capital of the new firm shall be fixed at Rs 2,10,000 in the profit-sharing ratio. The Capital Accounts of X and Z after all adjustments on the date of retirement showed a balance of Rs 1,45,000 and Rs 63,000 respectively. State the amount of actual cash to be brought in or to be paid to the partners.

## The solution of Question 43 Chapter 6 of +2-A: –

Old Ratio of X, Y, and Z = 3: 2: 1

Y retires from the firm.

New Ratio of X and Z = 3: 1

#### Calculation of New Share capital:

The total capital of the New Firm = Rs 5,400

 X’s New Capital Firm’s Total Capital X New share of X = 2,10,000 X 3 4 = Rs 1,57,500

 X’s New Capital Firm’s Total Capital X New share of X = 2,10,000 X 1 4 = Rs 52,500

Calculation of Addition/withdrawal of Capital by the X and Y

 Addition/withdrawal by X’s in/from Capital A/c = New Capital Amount – Balance of Capital Amount after all adjustments = 1,57,500 – 1,45,000 = 12,500/-

 addition/withdrawal by Y’s in/from Capital A/c = New Capital Amount – Balance of Capital Amount after all adjustments = 52,500 – 63,000 = (-) 10,500/-

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