A and B are partners in a firm sharing profits in the ratio of 7:5. On April 1, 2017 they admit C as a new partner for 16th share. The new ratio will be 13 : 7 : 4. C contributed the following assets towards his capital and for his share of goodwill: Stock Rs 60,000; Debtors Rs 80,000; Land Rs 2,00,000; Plant and Machinery Rs 1,20,000. On the date of admission of C, the goodwill of the firm was valued at Rs 7,50,000. Record necessary journal entries in the books of the firm on C's admission and prepare C's capital account.

A and B are partners in a firm sharing profits in the ratio of 7:5. On

1.	A and B are partners in a firm sharing profits in the ratio of 7:5. On April 1, 2017 they admit C as a new partner for 16th share. The new ratio will be 13 : 7 : 4. C contributed the following assets towards his capital and for his share of goodwill: Stock Rs 60,000; Debtors Rs 80,000; Land Rs 2,00,000; Plant and Machinery Rs 1,20,000. On the date of admission of C, the goodwill of the firm was valued at Rs 7,50,000. Record necessary journal entries in the books of the firm on C's admission and prepare C's capital account.
Answer» A and B are partners in a firm sharing profits in the ratio of 7:5. On April 1, 2017 they admit C as a new partner for $\frac{1}{6} t h$ share. The new ratio will be 13 : 7 : 4. C contributed the following assets towards his capital and for his share of goodwill: Stock Rs 60,000; Debtors Rs 80,000; Land Rs 2,00,000; Plant and Machinery Rs 1,20,000. On the date of admission of C, the goodwill of the firm was valued at Rs 7,50,000. Record necessary journal entries in the books of the firm on C's admission and prepare C's capital account.

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