Balance Sheet of P,Q and who share profits in the ratio of 2:2:1 as at 31st March, 2016 is: Assets ₹ Liabilities Capital A'cs P 9 R General Reserve Creditors Bills Payable Land 2,40,000 Building 2,00,000 Plant 1,60,000 6,00,000 Stock 48,000 Debtors 55,000 Cash 17,000 7,20,000 2,00,000 80,000 1,60,000 2,10,000 60,000 10,000 7,20,000 From 1st April, 2016 the partners decided to share the profits equally. For this purpose, the following adjustments were agreed upon a The Goodwill of the firm should be valued at 60,000. b. Land should be valued at 23,00,000 and Building and Plant should be depreciated by 5%. Stock be valued at 2,25,000. c. Creditors amounted to 12,000 were not likely to be claimed and hence should be written oft. You are required to: 1.record necessary Journal entries to give effect to the above agreement without opening the Revaluation Account: li prepare Capital Accounts of the Partners and iii. prepare Balance Sheet of the firm after reconstitution.