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VDO+ Tag:Question 42 Chapter 6 of Class 12 Part – 1 Usha Publication
42 (Adjustment of Capital/Capital of New Firm not given/GST) A, B and C carried a Partnership Sharing Profit as 4 : 3 :2 .Their balance sheet on 31.3.2013 was follows :
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Video Tag:| Liabilities | Rs. | Assets | Rs. |
| Creditors | 40,000 | Cash in hand | 500 |
| Output IGST | 400 | Cash at bank | 21,000 |
| Output CGST | 500 | Debtors 25,000 | |
| Output SGST | 500 | Less : provision 500 | 24,500 |
| Capital A/c | Stock | 36,000 | |
| A | 87,800 | Plant & machinery | 37,000 |
| B | 66,000 | Land & building | 1,20,000 |
| C | 43,800 | ||
| 2,39,000 | 2,39,000 |
B retired on the same date and the adjustments were agreed upon before ascertaining the amount payable to:
- Reserve for doubtful debts raised to 5 % on detors
- Land and building to be appreciated by 15%.
- A provision of Rs. 650 is to be made outstanding legal changes.
- Goodwill to be valued at Rs. 45,000 and B’s share to be adjusted into the accounts of A and C who decided to a
continue the sharing profits 5:3. - Stack to be reduced top Rs. 32,000.
- The Capital of the new firm to be adjusted in proportion to their new profit sharing ratio and actual cash to be brought in a paid by or to the timing partners as the case may be
B agreed to leave the amount due to him by the firm as a loan to the firm carrying interest @ 6% p.a.
You are required to prepare a revaluation account, partners, capital account, and revised Balance sheet after B’s retirement
The solution of Question 42 Chapter 6 of Class 12 Part – 1 Usha Publication: –
We are providing a solution of Question 42 Chapter 6 of Class 12 Part – 1 Usha Publication in two formats. one is in Video format and another is in article format. Check out both formats as follows:
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The video consists solution of question number 42 Chapter no. 6 class 12 of Usha publication. To check the direct solution of question no. 42 from the flowing video by using time stamps of the video.
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| Journal |
|||||
| Date | Particulars |
L.F. | Debit | Credit | |
| Revaluation A/c | Dr. | 5,400 | |||
| To provision for doubtful debts A/c | 750 | ||||
| To Outstanding legal charges A/c | 650 | ||||
| To Stock A/c | 4,000 | ||||
| (Being assets & liabilities revalued) | |||||
| Land & Building A/c | Dr. | 18,000 | |||
| To Revaluation A/c | 18,000 | ||||
| (Being land & Building appreciated) | |||||
| Revaluation A/c | Dr. | 12,600 | |||
| To A’s capital A/c | 5,600 | ||||
| To B’s capital A/c | 4,200 | ||||
| To C’s capital A/c | 2,800 | ||||
| (Being revaluation on profit ) | |||||
| A’s capital A/c | Dr. | 8,125 | |||
| C’s capital A/c | Dr. | 6,875 | |||
| To B’s capital A/c | 15,000 | ||||
| (Being adjustment of goodwill ) | |||||
| B’s capital A/c | Dr. | 85,200 | |||
| To B’s loan A/c | 85,200 | ||||
| (Being part payment to B) | |||||
| A’s capital A/c | Dr. | 7,150 | |||
| To bank A/c | 7,150 | ||||
| (Being capital refunded ) | |||||
| B’s capital A/c | Dr. | 7,150 | |||
| To B’s loan A/c | 7,150 | ||||
| (Being capital brought into make proportionate ) | |||||
| Revaluation Account |
|||||
| Particulars |
Amount | Particulars | Amount | ||
| To provision for d/d | 750 | By land & Building A/c | 18,000 | ||
| To provision for outstanding claim | 650 | ||||
| To stock | 4,000 | ||||
| To profits transferred | |||||
| A | 5,600 | ||||
| B | 4,200 | ||||
| C | 2,800 | 12,600 | |||
| 18,000 | 18,000 | ||||
| Partners’ Capital Account | |||||||
| Particulars | A | B | C | Particulars | A | B | C |
| To B’s capital A/c | 8,125 | 6,875 | By Balance b/d | 87,800 | 66,000 | 43,800 | |
| To Bank A/c | 7,150 | By Revaluation A/c | 5,600 | 4,200 | 2,800 | ||
| To B’s loan A/c | 85,200 | By A’s capital A/c | 8,125 | ||||
| By C’s capital A/c | 6,875 | ||||||
| By Bank A/c | 7,150 | ||||||
| To Balance c/d | 78,125 | – | 46,875 | ||||
| 93,400 | 85,200 | 53,750 | 93,400 | 85,200 | 53,750 | ||
New capital of partners
| Total assets in the firm | = | 500+21000+23750+32000+37000+138000 |
| = | Rs 2,52,250 | |
| Less Total liabilities of the new firm | = | 40,000 + 650 + 85200 |
| = | Rs 1,27,250 | |
| Net assets | = | Rs. 2,52,250 – 1,27,250 |
| = | Rs 1,25,000 | |
| A’s capital being 5/8 of 1,25,000 | = | 78,125 |
| C’s capital being 3/8 of 1,25,000 | = | 46,875 |
| Balance Sheet |
|||||
| Liabilities |
Amount | Assets | Amount | ||
| Creditors | 40,000 | Cash in hand | 500 | ||
| Output IGST | 400 | Cash at bank | 21,000 | ||
| Output CGST | 500 | Debtors | 25,000 | ||
| Output SGST | 500 | Less Provision | 1,250 | 23,750 | |
| Outstanding legal charges | 650 | Stock | 32,000 | ||
| B’s loan A/c | 85,200 | Plant & machinery | 37,000 | ||
| Capital A/c | Land & Building | 1,38,000 | |||
| A | 78,125 | ||||
| C | 46,875 | ||||
| 2,52,250 | 2,52,250 | ||||
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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)
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