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VDO+ Tag:Question 24 Chapter 4 of Class 12 Part – 1 Usha Publication
24. (Revaluation entries/ Capital a/c/ Balance sheet) X, Y and Z are partners in 6:3:1 ratio. Their balance sheet was as under on the date of change of profit ratio which is 2:1:2 for future.
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Video Tag:| Liabilities | Amount | Assets | Amount | |
| Reserves | 6,000 | Cash at bank | 2,400 | |
| Workmen Compensation Reserve | 3,000 | Building | 16,000 | |
| Bank loan | 9,000 | Investments | 6,000 | |
| Capital A/c | Stock | 4,000 | ||
| X | 12,000 | Debtors | 3,600 | |
| Y | 8,000 | Machinery | 14,000 | |
| Z | 8,000 | 28,000 | ||
| 46,000 | 46,000 |
The following evaluations were made:
- Goodwill valued at Rs.4,000.
- A bank loan was reduced to Rs.8,000.
- The building is decreased by 10% and machinery is valued at 95% of book value.
Pass entries without opening revaluation account. Prepare Capital account and Balance Sheet.
The solution of Question 24 Chapter 4 of Class 12 Part – 1 Usha Publication: –
| Journal | |||||
| Date | Particulars |
L.F. | Debit | Credit | |
| (i) | Goodwill a/c | Dr. | 4,000 | ||
| Bank Loan a/c | Dr. | 1,000 | |||
| To X’s Capital a/c | 3,000 | ||||
| To Y’s Capital a/c | 1,500 | ||||
| To Z’s Capital a/c | 500 | ||||
| (Being goodwill and decrease in amount bank loan transfer to partners’ capital A/c in their Old Profit-sharing ratio) | |||||
| (ii) | X’s Capital a/c | Dr. | 1,380 | ||
| Y’s Capital a/c | Dr. | 690 | |||
| Z’s Capital a/c | Dr. | 230 | |||
| To Building a/c | 1,600 | ||||
| To Machinery | 700 | ||||
| (Being decrease in the value of assets transfer to partners’ capital A/c in their Old Profit-sharing ratio) | |||||
| (iii) | X’s Capital a/c | Dr. | 2,000 | ||
| Y’s Capital a/c | Dr. | 1,000 | |||
| Z’s Capital a/c | Dr. | 2,000 | |||
| To Goodwill a/c | 4,000 | ||||
| To Bank Loan a/c | 1,000 | ||||
| (Being goodwill and decrease in amount of bank loan reversed in New Profit-sharing ratio) | |||||
| (iv) | Building a/c | Dr. | 1,600 | ||
| Machinery a/c | Dr. | 700 | |||
| To X’s Capital a/c | 920 | ||||
| To Y’s Capital a/c | 460 | ||||
| To Z’s Capital a/c | 920 | ||||
| (Being decrease in the value of assets reversed in New Profit-sharing ratio) | |||||
| Partners’ Capital Accounts |
|||||||||
| Particular |
X | Y | Z | Particular | X | Y | Z | ||
| To Building A/c | 960 | 480 | 160 | By Balance B/d | 12,000 | 8,000 | 8,000 | ||
| To Machinery A/c | 420 | 210 | 70 | By Goodwill a/c | 2,400 | 1,200 | 400 | ||
| To Goodwill A/c | 1,600 | 800 | 1,600 | By Bank Loan A/c | 600 | 300 | 100 | ||
| To Bank Loan A/c | 400 | 200 | 400 | By Building A/c | 640 | 320 | 640 | ||
| By Machinery A/c | 280 | 140 | 280 | ||||||
| By Reserves A/c | 3,600 | 1,800 | 600 | ||||||
| To Balance c/d | 17,940 | 10,970 | 8,090 | By W. C. R A/c | 1,800 | 900 | 300 | ||
| 21,320 | 12,660 | 10,320 | 21,320 | 12,660 | 10,320 | ||||
| Balance Sheets |
|||||
| Liabilities |
Amount | Assets | Amount | ||
| Capital A/c | Cash at bank | 2,400 | |||
| X | 17,400 | Building | 16,000 | ||
| Y | 10,970 | Stock | 4,000 | ||
| Z | 8,090 | 37,000 | Debtors | 3,600 | |
| Bank Loan | 9,000 | Furniture | 25,000 | ||
| Machinery | 14,000 | ||||
| 46,000 | 46,000 | ||||
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End of Solution
Check Out the Solution of all questions of this chapter:
The solution to all questions of Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership) Class 12 Usha Publication – 2024 is shown as follows, click on the image of the question to get the solution.
Question 13 Chapter 4 of Class 12 Part – 1 – 2024
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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)
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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)
Also, Check out our Comprehensive Chapter-wise solution of Advanced Accountancy Part 1 Class 12 by Unimax Publication
- Chapter No. 1 – Accounts of Non-Profit Organisations (Deleted from the Syllabus)
- Chapter No. 2 – Partnership Accounts – I (Basic Concepts)
- Chapter No. 3 – Partnership Accounts – II (Goodwill)
- Chapter No. 4 – Partnership Accounts – III (Change in Profit Sharing Ratio among Existing Partners)
- 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