Saved Bookmarks
| 1. |
A and B were partners in a firm. They admitted C as a new partner for 20% share in the profits. After all adjustments regarding general reserve, goodwill, gain or loss on revaluation, the balances in capital accounts of A and B were Rs.3,85,000 and Rs. 4,15,000 respectively. C brought proportionate capital so as to give him 20% share in the profits. Calculate the amount of capital to be brought by C. |
|
Answer» Combined capital of A and B = Rs.3,85,000+ Rs. 4,15,000= Rs. 8,00,000 C’s Share= 1/5th of total capital Remaining share= 1-1/5=4/5 4/5 = Rs.8,00,000 C’s capital= Rs. 8,00,000 x 5/4 x 1/5 = Rs.2,00,000 |
|