Vanshika and Shikha were partners in a firm with capitals of ₹ 1,00,000 and ₹ 80,000 respectively. They admitted Nisha on 1st April, 2022 as a 1 new…

Calculation of Goodwill of the firm Total Capital of the Firm based on Nisha’s share = $\displaystyle 90,000$ x $\displaystyle 4$/$\displaystyle 1$ = ₹ $\displaystyle 3,60,000$ Actual capital of the Firm = $\displaystyle 1,00,000$+ $\displaystyle 80,000$ + $\displaystyle 90,000$ = ₹$\displaystyle 2,70,000$ Goodwill of the Firm = $\displaystyle 3,60,000$ - $\displaystyle 2,70,000$ = ₹$\displaystyle 90,000$ Calculation of Nisha’s share of goodwill premium= ₹$\displaystyle 90,000$ x $\displaystyle 1$/$\displaystyle 4$ = ₹$\displaystyle 22,500$ Books of Vanshika and Shikha JOURNAL Date Particulars LF Amount Amount Dr (₹) Cr (₹) Bank / Cash A/c Dr. $\displaystyle 90,000$ To Nisha’s Capital A/c $\displaystyle 90,000$ (Capital brought in by Nisha) ________________________________ Nisha’s Current A/c Dr. $\displaystyle 22,500$ To Vanshika’s Capital A/c $\displaystyle 11,250$ To Shikha’s Capital A/c $\displaystyle 11,250$ (Adjustment for goodwill premium not brought in by Nisha) ________________________________