Advertisement
VDO+ Tag:Question 71 Chapter 5 of Class 12 Part – 1 Usha Publication
71. Bakul and Gokul were partners in a firm sharing profits and losses in the ratio of 2 : 1 with capitals of 40,000 and 30,000 respectively. They decided to admit Nakul into partnership on conditions that he would bring in 20,000 as his capital and 6,000 for his share of goodwill for 1/4th share of profits. Half of the amount of goodwill was withdrawn by the existing partners. The capital of the partners in the New firm were to be arranged in profit sharing ratio on the basis of Nakul’s Capital and excess or deficit capital to be adjusted in cash.
Give the necessary journal entries to record the transactions and show the capital accounts of the partners and the cash account.
Advertisement
Video Tag:The solution of Question 71 Chapter 5 of Class 12 Part – 1 Usha Publication: –
We are providing a solution of Question 71 Chapter 5 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:
1. Check out the Solution of this question in Video Format:-
The video consists solution of question numbers 71 & 72 Chapter no. 5 class 12 of Usha publication. To check the direct solution of question no. 71 from the flowing video by using time stamps of the video.
2. Check out the Solution of this question in Article Format:-
| Journal | |||||
| Date | Particulars |
L.F. | Debit | Credit | |
| 1 | Cash A/c | Dr. | 26,000 | ||
| To Nakul’s Capital A/c | 20,000 | ||||
| To Premium for Goodwill A/c | 6,000 | ||||
| (Being cash brought in by Nakul as capital and share of goodwill) | |||||
| 2 | Premium for Goodwill A/c | Dr. | 6,000 | ||
| To Bakul’s Capital A/c | 4,000 | ||||
| To Gokul’s Capital A/c | 2,000 | ||||
| (Being share of goodwill transferred to sacrificing partner in their sacrificing ratio) | |||||
| 3 | Bakul’s Capital A/c | Dr. | 2,000 | ||
| Gokul’s Capital A/c | Dr. | 1,000 | |||
| To Cash A/c | 3,000 | ||||
| (Being half of the amount of goodwill withdrawn by existing partners) | |||||
| 4 | Bakul’s Capital A/c | Dr. | 2,000 | ||
| Gokul’s Capital A/c | Dr. | 11,000 | |||
| To Cash A/c | 13,000 | ||||
| (Being surplus capital withdrawn by partners) | |||||
| Partners’ Capital Account | |||||||
| Particulars | Bakul | Gokul | Nakul | Particulars | Bakul | Gokul | Nakul |
| To Cash A/c | 2,000 | 1,000 | By Balance b/d | 40,000 | 30,000 | ||
| To Cash A/c (B.F) | 2,000 | 11,000 | By Cash A/c | 20,000 | |||
| By Premium for goodwill A/c | 4,000 | 2,000 | |||||
| To Balance c/d | 40,000 | 20,000 | 20,000 | ||||
| 44,000 | 32,000 | 20,000 | 44,000 | 32,000 | 20,000 | ||
Working Note:-
Calculation of New Capital of New Firm;-
Total Capital of New Firm of the basis of Nakul’s Capital:-
Calculation of amount of Goodwill:-
(i) Total Capital of New Firm of the basis of Nakul’s Capital:-
= Nakul’s Capital X Reverse Share of Seema
Advertisement
| = | ₹ 20,000 | x | 4 | |
| 1 | ||||
| = | ₹ 80,000 |
Calculation of new profit sharing ratio:-
Let total Share of the firm = 1
| Share of profit acquired by Nakul | = | 1 |
| 4 |
| Remaining share (Joint share of X and Y) | = | 1 | – | 1 |
| 4 | ||||
| = | 3 | |||
| 4 |
| Bakul‘s new share | = | 3 | x | 2 |
| 4 | 3 | |||
| = | 2 | |||
| 4 |
| Gokul’s new share | = | 3 | x | 1 |
| 4 | 3 | |||
| = | 1 | |||
| 4 |
| Nakul’s new share | = | 1 | ||
| 4 |
New profit sharing ratio = 2 : 1 : 1
Total Capital distribute among all partners in new profit sharing ratio:-
| Bakul‘s new capital | = | ₹ 80,000 | x | 2 |
| 4 | ||||
| = | ₹ 40,000 |
| Gokul’s new capital | = | ₹ 80,000 | x | 1 |
| 4 | ||||
| = | ₹ 20,000 |
| Cash Account | |||
| Particulars | Nakul | Particulars | Nakul |
| To Nakul’s Capital A/c | 20,000 | By Bakul’s Capital A/c | 2,000 |
| To Premium for goodwill A/c | 6,000 | By Gokul’s Capital A/c | 1,000 |
| By Bakul’s Capital A/c | 2,000 | ||
| By Gokul’s Capital A/c | 11,000 | ||
| By Balance C/d | 10,000 | ||
| 26,000 | 26,000 | ||
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.
Advertisement
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
Advertisement
2. Advanced Accountancy Part 2 Class 12 by Unimax Publication