Question 25 Chapter 5 of Class 12 Part – 1 Usha Publication
25.(Profits at the end of the year are given) P and S are partners sharing profits in the ratio 3:2. their books showed goodwill at Rs. 20,000, R is admitted with the 1/5 share which he acquires equally from P and s. R brings Rs. 20,000 as his capital and Rs. 10,000 as his share of goodwill. Profits at the end of the year were of the amount of Rs. 1,00,000. you are required to give journal entries to carry out the above arrangement.
We are providing a solution of Question 25 Chapter 5 of +2 Part-1 in two formats. one is in Video format and another is in article format. Check out both formats as follows:
1. Check out the Solution of this question in Video Format:-
The video consists solution of question numbers from 24 to 32 Chapter no. 5 class 12 of Usha publication. To check the direct solution of question no. 25 from the flowing video by using time stamps of the video.
2. Check out the Solution of this question in Article Format:-
The solution of Question 25 Chapter 5 of Class 12 Part – 1 Usha Publication: –
| Journal | |||||
| Date | Particulars |
L.F. | Debit | Credit | |
| i) | P’s Capital A/c | Dr. | 12,000 | ||
| S’s Capital A/c | Dr. | 8,000 | |||
| To Goodwill A/c | 20,000 | ||||
| (Being existing goodwill written off) | |||||
| ii) | Cash A/c | Dr. | 30,000 | ||
| To R’s Capital A/c | 20,000 | ||||
| To Premium for Goodwill A/c | 10,000 | ||||
| (Being capital and premium brought in by R) | |||||
| iii) | Premium for Goodwill A/c | Dr. | 10,000 | ||
| To P’s Capital A/c | 5,000 | ||||
| To S’s Capital A/c | 5,000 | ||||
| (Being goodwill distributed among old partners in their sacrificing ratio i.e. 1 : 1) | |||||
| iv) | Profit and loss A/c | Dr. | 1,00,000 | ||
| To P’s Capital A/c | 50,000 | ||||
| To S’s Capital A/c | 30,000 | ||||
| To R’s Capital A/c | 20,000 | ||||
| (Being Profit Rs. 1,00,000 distributed among all partners in their new ratio 5:3:2 ) | |||||
Calculation of new profit sharing ratio:-
| D’s share | = | 1 |
| 5 |
Sacrifice share of P & S = 1 : 1
| P’s Sacrificed Share | = | 1 | X | 1 |
| 5 | 2 | |||
| = | 1 | |||
| 10 |
| S’s Sacrificed Share | = | 1 | X | 1 |
| 5 | 2 | |||
| = | 1 | |||
| 10 |
| P’s New Share | = | 3 | – | 1 |
| 5 | 10 | |||
| = | 5 | |||
| 10 |
| S’s New Share | = | 2 | – | 1 |
| 5 | 10 | |||
| = | 3 | |||
| 10 |
| R’s Share | = | 1 | X | 2 |
| 5 | 2 | |||
| = | 2 | |||
| 10 |
New Profit Sharing Ratio = 5 : 3 : 2
Thanks, Please Like and share with your friends
Comment if you have any questions.
Thanks, Please Like and share with your friends
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. 5 – Partnership Accounts – IV (Admission of A Partner) Class 12 Usha Publication – 2024 is shown as follows, click on the image of the question to get the solution.
Thanks for completing the chapter. If you understand the question or we have helped you with your homework, please share our website on your social media. We are delighted to help you out.
Thanks again.
Download a PDF of Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership):
If you want to download a PDF of this chapter then you can do it. Check out our PDF file on our Store page.
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)
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