Nita, Vidur and Mita were partners in a firm sharing profits and losses in the ratio of 3 : 4 : 1. On 1st April 2024, they decided to admit Samir as a new partner. The new profit sharing ratio between Nita, Vidur, Mita and Samir will now be 1 : 1 : 1 : 1. The balance sheet of Nita, Vidur and Mita before Samir’s admission showed machinery at ₹ 6,00,000. On the date of admission, it was found that the machinery is overvalued by 20%. The value of machinery shown in the new Balance Sheet after Samir’s admission will be :

Question

Moksh and Pran were partners in a firm sharing profits and losses in the ratio of 1 : 2. Their capitals were ₹ 5,00,000 and ₹ 3,00,000 respectively. They admitted Tushar as a new partner on 1st April, 2024 for 1/4th share in future profits. Tushar brought ₹ 4,00,000 as his share of capital. The goodwill of the firm on Tushar’s admission will be :

Answer 1

Step 1: Determine the overvaluation amount.
\[\text{Overvaluation} = 20\% \text{ of } ₹ 6,00,000 = ₹ 1,20,000\]Step 2: Adjust the machinery to its fair value.
\[\text{Correct Machinery Value} = ₹ 6,00,000 - ₹ 1,20,000 = ₹ 4,80,000\]Final Answer: ₹ 4,80,000

Liabilities	Amount (₹)	Assets	Amount (₹)
Capital: Aryan	3,20,000	Machinery	3,90,000
Capital: Adya	2,40,000	Furniture	80,000
Workmen’s Compensation Reserve	20,000	Debtors	90,000
Bank Loan	60,000	Less: Provision for Doubtful Debts	(1,000)
Creditors	48,000	Net Debtors	89,000
		Stock	77,000
		Cash	32,000
		Profit and Loss A/c	20,000
Total	₹6,88,000	Total	₹6,88,000

Show Hint

The Correct Option is B

Solution and Explanation

Top Questions on Admission of a Partner

Note:

Questions Asked in CBSE Class XII exam