Gautam and Yashica are partners in a firm, sharing profits and losses in 3 : 1 respectively. The Balance Sheet of the firm as on 31st March, 2018 was as follows:
| Liabilities | ₹ | Assets | ₹ |
|---|---|---|---|
| Sundry Creditors | Furniture | 60,000 | |
| Bills Payable | Stock | 1,40,000 | |
| Capitals: Gautam Yashika |
4,00,000 1,00,000 |
Debtors | 80,000 |
| Cash in Hand | 90,000 | ||
| Machinery | 2,10,000 | ||
| 5,80,000 | 5,80,000 |
Asma is admitted asa partner for 3/8th share of the profits with a capital of 2,10,000 and 50,000 for her share of goodwill. It was decided that:
(i) New profit-sharing ratio will be 3:2:3.
(ii) Machinery will be depreciated by 10% and Furniture by ₹5,000.
(iii) Stock was revalued at 2,10,000.
(iv) Provision for doubtful debts is to be created at 10% of debtors.
(v) The capitals of all the partners were to be in the new profit-sharing ratio on basis of capital of new partner. Any adjustment to be done through Current Accounts.
Prepare Revaluation Account, Partners’ Capital Accounts and the Balance Sheet of the new firm.
(CBSE Sample Question Paper 2019)
Ans.: Gain (Profit) on Revaluation = ₹36,000.
Partners’ Capital Accounts:
Gautam – ₹2,10,000
Yashica – ₹1,40,000
Asma – ₹2,10,000
Balance Sheet Total – ₹9,07,000.
Solution :
