Solution- 2. Land and building (Book value) ₹ 1,60,000 sold for ₹ 3,00,000 through a broker who changed 2% commission on the deal. Journalize the transaction, at the time of dissolution of the firm. Solution:- Working notes:- Realization amount =…
Death of a Partner (New Profit-sharing Ratio & Gaining Ratio) Q1. Deepak, Ram & Saurav were partners sharing profits in the ratio of 1/2, 2/5 & 1 Find the new profit-sharing ratio of the remaining partners if Saurav dies. Solution…
Retirement of a Partner (New Profit-sharing Ratio & Gaining ratio) Q1. Tushar, Radha and Garv were partners sharing profits in the ratio of 1/2, 2/5 and 1 Find the new ratio of the remaining partners if Garv retires. Solution –…
Calculation of New Profit-Sharing Ratio and Sacrificing Ratio:- Q1. Jiten and Rajiv are partners sharing profits in the ratio of 3;2. They admit Bikram as a partner for 1/5th profit share. Determine profit-sharing ratio after admission of Bikram. Solution- Old…
Sacrificing and Gaining Share:- Q1. Om and Shyam are sharing profits and losses equally. With effect from 1st April, 2025, they agree to share profits in the ratio of 4:3. Calculate individual partners gain or sacrifice due to the change…
Average Profit Method:- Q1. Goodwill is to be valued at three year purchase of four year average profit. Profit of the firm for last four years ending 31st March, were: 2022 – 12,000; 2023 – 18,000; 2024 – 16,000; 2025…
Solution – 2. Mahesh, Ramesh and Suresh are partners in a firm. They do not have a Partnership Deed. At the end of the first year of the business, they faced the following problems: State how you will settle these…