Question 44 Chapter 5 of +2-Part-1
44. Revaluation/Capital A/c/B/S/GST) Usha and Asha are partners in a firm sharing profits in the ratio 3:2. Their Balance sheet on 31st March, 2013 was as follows:
|Bills Payable||4,000||Less : Provision for Bad debts||4,800||43,200|
Neelam is admitted into the partnership giving her 1/5th share in the profits.
Neelam to bring in Rs. 30,000 as her Capital and to bring in her share of Goodwill in cash subject to the following terms:
(a) Goodwill of the firm to be valued at Rs. 50,000.
(b) Stock to be reduced by 10% and Provision for Bad Debts be reduced by Rs. 2,400.
(c) Patents are valueless.
(d) There was a claim against the firm for damages amounting to Rs. 2,000. The claim has now been accepted.
Prepare Revaluation Account, Partners’ Capital Accounts, and the Balance Sheet of the new firm.
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The solution of Question 44 Chapter 5 of +2 Part-1: –
|To Stock A/c||9,000||By Provision for doubtful A/c||2,400|
|To Patent A/c||900|
|To Claim Damage A/c||1,300|
|To Loss on revaluation|
|-Usha’s capital A/c 3/5||6,000|
|-Asha’s capital A/c 2/5||4,000||10,000|
|Partners’ Capital Account|
|To Revaluation A/c||6,000||4,000||By Balance b/d||40,000||35,000|
|By General Reserve||10,080||7,200|
|By Cash A/c||–||–||30,000|
|By Premium A/c||6,000||4,000|
|To Balance c/d||50,800||42,200||30,000|
|Balance Sheet |
|Claim for Damages||2,000||Debtors||48,000|
|Bills Payable||4,000||Less: Provision for Bad debts||2,400||45,600|
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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