1.

M and J are partners in a firm sharing profits in the ratio of 3 : 2. They admit R as a new partner. The new profit-sharing ratio between M, J and R will be 5 : 3 : 2. R brought in ₹ 25,000 for his share of premium for goodwill. Pass necessary journal entries for the treatment of goodwill.

Answer»

cing RATIO of M and J is and Distribution of R’s SHARE of GOODWILL is Explanation:1) Calculation of sacrificing ratio: Sacrificing Ratio = OLD Ratio-New Ratio M’s sacrificing ratio J’s sacrificing ratio Sacrificing Ratio of M and J 2) Distribution of R’s share of goodwill M’s Goodwill  J's Goodwill



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