1.

A, B and C are partners in a firm, sharing profits and losses as A 1/3, B 1/2 and C 1/6 respectively. The Balance Sheet of the firm as at 31st March, 2018 was: C retires on 1st April, 2018 subject to the following adjustments: (a) Goodwill of the firm be valued at ₹ 24,000. C’s share of goodwill be adjusted into the account of A and B who are going to share in future in the ratio of 3 : 2. (b) Plant and Machinery to be depreciated by 10% and Furniture by 5%. (c) Stock to be appreciated by 15% and Factory Building by 10%. (d) Provision for Doubtful Debts to be raised to ₹ 2,000. You are required to pass journal entries to record the above transactions in the books of the firm and show the Profit and Loss Adjustment Account, Capital Account of C and the Balance Sheet of the firm after C’s retirement.

Answer»

by OPENING CURRENT Accounts.Prepare Revaluation Account, Partners CAPITAL Accounts and BALANCE Sheet of the new firm.HOPE TIS HELPS ❤️PLEASEMARK AS BRAINLIEST ❤️❤️



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