CBSE Guess > Papers > Important Questions > Class XII > 2010 > Accountancy > Accountancy By Rahul Kadd
CBSE CLASS XII
They agreed to take in to Din to partnership and give him a share of 1/8th in the rupee on the following terms
- That D should bring in Rs. 4200 as goodwill and Rs. 7000 as capital.
- That furniture be depreciated by 12%
- the stock be depreciated by 10%
- that provision of 5% be created for doubtful debts
- That the value of land & Building having over- depreciated, be brought up to Rs. 31000
- That after making above the adjustments the capital accounts of the old partners be adjusted on the basis of the proportion of D’s capital to his share in the business i.e, actual cash to be paid off, or brought in by the old partners , as the case may be
Prepare the cash A/c , the profit and loss adjustment a/c and the opening balance sheet of the new firm.
Q. 33. (Comprehensive) A and B are partners in a firm sharing profits and losses in the ratio of 7:3. their balance sheet as on 31st march, 2007 as follows:
| Liabilities | Amount | Assets | Amount | ||
| Sundry creditors | 40,000 | Cash in hand | 36,000 | ||
| Bank overdraft | 20,000 | Sundry debtors | 46,000 | ||
| Reserves | 10,000 | Less provision for | |||
| Capital A/c | Doubtful debts | 2,000 | 44,000 | ||
| A | 50,000 | Furniture | 30,000 | ||
| B | 40,000 | 90,000 | Stock in trade | 50,000 | |
| 1,60,000 | 1,60,000 | ||||
On 1st April, 2007 , C joins the firm as the third partner for 1/4th share of the future profits on the following terms and conditions
- Goodwill is valued at Rs. 40,000 and C is to bring in the necessary amount in cash as premium for goodwill
- 20% of the reserve is to remain as a provision against bad and doubtful debts
- stock in trade is to be reduced by 40% and furniture is to be reduced to 40%
- A is to pay off the bank overdraft
- C is to introduce Rs. 30,000 as his share of capital to which amount othert partner’s capital shall have to be adjusted.
Show the necessary Journal entries to carry out the above transactions and prepare the amended Balance sheet of the firm immediately after C has become a partner.
Paper By Mr. Rahul Kadd
Email Id : [email protected]
Phone No. : 9212197510
Oscar Academy- BN - 4 (East),
Shalimar Bagh, Delhi-88
