Question 62 Chapter 6 of +2-A – T.S. Grewal 12 Class Part – A Vol. 1

Question 62 Chapter 6 of +2-A

Question 62 Chapter 6 of +2-A

62. X, Y and Z were partners in a firm sharing profit in 3: 2: 1. The firm closes its books on 31st March every year. Y died on 30th June 2018. On Y’s death goodwill of the firm was valued at 60,000. Y’s share in the profit of the firm till the date of his death was to be calculated on the basis of the previous year’s profit which was 1,50,000. Pass necessary Journal entries for goodwill and Y’s share of profit at the time of his death.

 

The solution of Question 62 Chapter 6 of +2-A: –

 

 

 

Date Particulars
L.F. Debit Credit
  X’s Capital A/c Dr.   15,000  
  Z’s Capital A/c Dr.   5,000  
  To Y’s Capital A/c       20,000
  (Being Y’s share of goodwill adjusted through X and Y’s Capital Account in gaining ratio, i.e. 3: 1)      
  Profit and Loss Suspense A/c Dr.   12,500  
  To Y’s Capital A/c       12,500
  (Being Y’s profit share till his death debited to P&L Suspense A/c)        

 

 

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)

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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2 Book 1 min - Question 62 Chapter 6 of +2-A - T.S. Grewal 12 Class Part - A Vol. 1
Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms

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