Question 45 Chapter 6 of Class 12 Part – 1 – 2024
45. X, Y and Z were partners in a firm whose Balance sheet as at 31.3.2017 as under:
| Liabilities | Rs. | Assets | Rs. |
| Sundry Creditors | 18,240 | Cash | 16,240 |
| General Reserve | 7,500 | Sundry Debtors | 22,500 |
| Capital | Stock | 28,500 | |
| X | 20,000 | Furniture | 5,000 |
| Y | 14,500 | ||
| Z | 10,000 | ||
| 70,240 | 70,240 |
Y retired from the firm on the above date and in this connection it was decided to make the following adjustments :
(i) To reduce stock by 5%.
(ii) To reduce furniture by 10%.
(iii) To provide for doubtful debts at 5% on debtors.
(iv) A long dispute with one of the creditor was settled by paying 9,050 in cash. In anticipation 6,000 have already been included in sundry creditors for this purpose.
(v) Goodwill was valued at ₹ 12,000.
(vi) X and Z will share future profits and losses in the ratio of 5 : 3 respectively.
(vii) Y should be paid off and the entire sum payable to Y shall be brought in by X and Z in such a way that their capitals should be in their new profit sharing ratio.
Prepare Revaluation A/c, Partner’s Capital Accounts & Balance Sheet after Y’s Retirement.
The solution of Question 45 Chapter 6 of Class 12 Part – 1 – 2024: –
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| Revaluation Account |
|||||
| Particulars |
Amount | Particulars | Amount | ||
| To Stock A/c | 1,325 | By Loss on revaluation transferred | 6,000 | ||
| To Furniture A/c | 500 | X’s Capital A/c | 2,000 | ||
| To Provision for Doubtful Debts A/c | 1,125 | Y’s Capital A/c | 2,000 | ||
| To Creditors A/c | 3,050 | Z’s Capital A/c | 2,000 | 6,000 | |
| 6,000 | 6,000 | ||||
| Partners’ Capital Account | |||||||
| Particulars | X | Y | Z | Particulars | X | Y | Z |
| To Revaluation A/c | 2,000 | 2,000 | 2,000 | By Balance b/d | 20,000 | 14,500 | 10,000 |
| To Y’s Capital A/c | 3,500 | By Gen. Reserve A/c | 2,500 | 2,500 | 2,500 | ||
| To Cash A/c | 19,000 | By X’s Capital A/c | 3,500 | ||||
| To Balance c/d | 28,750 | 17,250 | By Z’s Capital A/c | 500 | |||
| By Cash A/c (B.fig) | 11,750 | 7,250 | |||||
| 34,250 | 21,000 | 19,750 | 34,250 | 21,000 | 19,750 | ||
| Balance Sheet |
|||||
| Liabilities |
Amount | Assets | Amount | ||
| Sundry Creditors | 12,240 | Cash | 7,190 | ||
| Capital A/c | Sundry Debtors | 22,500 | |||
| X | 28,750 | Less provision | 1,125 | 21,375 | |
| Z | 17,250 | 46,000 | Stock | 24,175 | |
| Furniture | 4,500 | ||||
| 58,240 | 58,240 | ||||
| Cash Account |
|||||
| Particulars |
Amount | Particulars | Amount | ||
| To balance b/d | 16,240 | By Creditors A/c | 9,050 | ||
| To X’s Capital A/c | 11,750 | By Y’s Capital A/c | 19,000 | ||
| To Z’s capital A/c | 7,250 | By Balance c/d | 7,190 | ||
| 35,240 | 35,240 | ||||
Working Note:-
Calculation of gaining ratio of X and Z:
Gaining ratio = New Share – Old Share
| X’s gain | = | 5 | – | 1 |
| 8 | 3 | |||
| = | 7 | |||
| 24 |
| Z’s gain | = | 3 | – | 1 |
| 8 | 3 | |||
| = | 1 | |||
| 24 |
Gaining ratio = 7 : 1
Calculation of Y’s Share of Goodwill:
Firm Goodwill = ₹ 12,000
= Firm Goodwill X Y’s share
| Y’s share in the goodwill | = | ₹ 12,000 | x | 1 |
| 3 | ||||
| = | ₹ 4,000 |
| X’s Share | = | ₹ 4,000 | x | 7 |
| 8 | ||||
| = | ₹ 3,500 |
| Z’s Share | = | ₹ 4,000 | x | 1 |
| 8 | ||||
| = | ₹ 500 |
Calculation of Total Capital of New Firm:
= Balance of X’s Capital A/c + Y’s Payable Amount + Balance of Z’s Capital A/c
= ₹ 17,000 + ₹ 19,000 + ₹ 10,000
= ₹ 46,000
Distribution of new capital among continuing Partner X and Z in New Profit Sharing Ratio:-
| X’s New Capital | = | ₹ 46,000 | x | 5 |
| 8 | ||||
| = | ₹ 28,750 |
| Z’s New Capital | = | ₹ 46,000 | x | 3 |
| 8 | ||||
| = | ₹ 17,250 |
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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