# Question 61 Chapter 6 of +2 Part- 1 – USHA Publication

Q-61. - CH-6 - Usha +2 Book 2018 - Solution

Question 61 Chapter 6 of +2-Part- 1

61. (Revaluation A/c/Capital A/c Executor A/c/B/S) The balance sheet of A , B & C is given at 31-3-2017 :

 Liabilities Rs. Assets Rs. Capital A/c Cash at bank 17,000 A 25,000 Debtors                     30,000 B 30,000 Less : provision          2,000 28,000 C 15,000 Stock 12,000 Reserve 9,000 Equipment 15,000 Creditors 21,000 Building 50,000 Bank Loan 30,000 Goodwill 12,000 Salary due 10,000 Advertisement suspense 6,000 1,40,000 1,40,000

C died on 31-8-17. As per the deed the goodwill is to valued two times of average profits. The profits for last three years are following for the purpose of goodwill,
2016-17 Profit Rs. 30,000 (after loss on sale of building Rs. 10,000)
2015-16 Loss Rs. 9,000
2014-15 Profit Rs. 20,000 (after profit on sale of plant Rs.3,000)
Debtors are valued Rs. 26,000 ;Stock Rs. 11,000;
Profits of C are to be calculated on the basis of average profits of last three years.
C was paid Rs. 10,000 immediately and the balance was paid after six months with 12% interest. Prepare C’s executorr’s account and balance sheet as un 31-8-2017.

## The solution of Question 61 Chapter 6 of +2 Part-1: –

Day - 144 | Solution of Questions 60 & 61 Death of a Partner Chapter 6 Accounts class 12 PSEB

 Revaluation A/c Particulars Amount Particulars Amount To debtors A/c 2,000 To stock A/c 1,000 By loss on revaluation A 1,000 B 1,000 C 1,000 3,000 3,000 3,000
 Partners’ Capital Account Particulars A B C Particulars A B C To revaluation A/c 1,000 1,000 1,000 By Balance b/d 25000 30,000 15,000 To goodwill A/c 4,000 4,000 4,000 By Reserve A/c 3,000 3,000 3,000 To adv. Suspense A/c 2,000 2,000 2,000 By A’s capital A/c 5,333 To c’s capital A/c 5,333 5,334 By B’s capital A/c 5,334 To c’s executors A/c 23,889 By P & L suspense A/c 2,222 To Balance c/d 15,667 20,666 – 28,000 33,000 30,889 28,000 33,000 30,889

Working Notes :

Calculation of profit to C

 Years Profit 2016-17 Profit 30,000+10,000 40,000 2015-16 Loss (-,9000) 2014-15 Profit 20,000-3,000 17,000 48,000
 Average profit = 48,000 3 = 16,000

C’s share in profit = 16,000 X (5/12) X (1/3) = 2,222

Calculation of the Goodwill

Average Profit = 16,000
Goodwill = Average profit X No. of Year’s purchase = 16000 X 3 = 32,000
C’s share = 32,000 X 1/3 = 10,667

 Journal Date Particulars L.F. Debit Credit a) A’s capital A/c Dr. 5,333 B’s capital A/c Dr. 5,334 To C’s capital A/c 10,667 (Being goodwill adjusted )
 C’s executors A/c Date Particulars Amount Particulars Amount 31-8-17 To cash A/c 10,000 By C’s capital A/c 23,889 28-2-18 To stock A/c 14,722 By interest A/c 833 24,722 24,722
 Balance Sheet Liabilities Amount Assets Amount Capital A/c Cash at bank 7,000 A 15,667 Debtors 30,000 B 20,666 Less Provision 4,000 26,000 C’s executor 13,889 Stock 11,000 Creditors 21,000 Equipment 15,000 BANK Loan 30,000 Building 50,000 Salary due 10,000 P & L Suspense A/c 2,222 1,11,222 1,11,222

Comment if you have any questions.

End of Solution

## Check Out the Solution of all questions of this chapter:

The solution to all questions of Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner) Class 12 Usha Publication – 2024 is shown as follows, click on the image of the question to get the solution.

Question 05 Chapter 6 of +2- Part- 1 of USHA Publication Part – 1

Question 11 Chapter 6 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 17 Chapter 6 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 23 Chapter 6 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 29 Chapter 6 of +2 Part- 1 – USHA Publication 12 Class

Question 35 Chapter 6 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 42 Chapter 6 of +2 Part- 1 – USHA Publication

Question 50 Chapter 6 of +2 Part-1 – USHA Publication 12 Class Part – 1

Question 56 Chapter 6 of +2 Part-1 – USHA Publication 12 Class Part – 1

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## Chapter-Wise Solution of Usha Publication Accountancy – Part 1 Class 12 – Session 2024-25 as per the PSEB curriculum

Check out Solutions to all questions of the every chapter shown as under. The Solution of Accountancy – Part 1 Class 12 – Session 2024-25 is provided as per the new book published by Usha Publication.

Chapter No. 1 – Accounting Not-for-Profit Organisations (Deleted from the Syllabus)

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)

## Check out Part 2 of both books.

In Class 12th the accountancy has 2 books i.e. Part 1 and Part 2. The Books related to the Part 1 are shown above. but If you want to know more about Part 2, you can check it out from the following links. We have provided the links to both books i.e. Accountancy Part 2 by Usha Publication and Advanced Accountancy Part 2 by Unimax Publication.

1. Accountancy – Part 2 Class 12 – Session 2024-25 By Usha Publication

2. Advanced Accountancy Part 2 Class 12 by Unimax Publication