CBSE 2023 · Region 1 · Set 3 · Q23

Yuv and Veer were partners in a firm sharing profits and losses in the ratio of $\displaystyle 3$ : 1. Their Balance Sheet as on 31st March, $\displaystyle 2022$ was as under : Balance Sheet of Yuv and Veer as at 31st March, $\displaystyle 2022$ Amount Amount Liabilities Assets < < Creditors $\displaystyle 41,000$ Plant and Machinery $\displaystyle 60,000$ General Reserve $\displaystyle 80,000$ Building $\displaystyle 40,000$ Outstanding Expenses $\displaystyle 12,000$ Investments $\displaystyle 60,000$ Capitals : Stock $\displaystyle 50,000$ Yuv $\displaystyle 79,000$ Debtors $\displaystyle 38,000$ Veer $\displaystyle 48,000$ $\displaystyle 1,27,000$ Less : Provision for Doubtful Debts $\displaystyle 4,000$ $\displaystyle 34,000$ Cash $\displaystyle 16,000$ $\displaystyle 2,60,000$ $\displaystyle 2,60,000$ They decided to admit Yash in the firm on 1st April, $\displaystyle 2022$ for $\displaystyle 1$ share in profits on the following terms : $\displaystyle 4$ (i) Yash will bring in proportionate capital and ₹ $\displaystyle 4,000$ as his share of goodwill premium in cash. (ii) Investments were valued at ₹ $\displaystyle 68$,000. (iii) Plant and Machinery was to be depreciated by $\displaystyle 10$%. Prepare Revaluation Accounts and Partners ' Capital Accounts.

OR

Reyansh, Aayushman and Sabhya were partners in a firm sharing profits and losses in the ratio of $\displaystyle 5$ : $\displaystyle 3$ : 2. Their Balance Sheet as at 31st March, $\displaystyle 2022$ was as under : Balance Sheet of Reyansh, Aayushman and Sabhya as at 31st March, $\displaystyle 2022$ Amount Amount Liabilities Assets < < Sundry Creditors $\displaystyle 2,20,000$ Cash $\displaystyle 1,60,000$ General Reserve $\displaystyle 1,20,000$ Debtors $\displaystyle 1,80,000$ Less : Provision for Capitals : Doubtful Debts $\displaystyle 20,000$ $\displaystyle 1,60,000$ Reyansh $\displaystyle 6,00,000$ Stock $\displaystyle 2,00,000$ Aayushman $\displaystyle 5,00,000$ Machinery $\displaystyle 6,00,000$ Sabhya $\displaystyle 3,00,000$ $\displaystyle 14,00,000$ Building $\displaystyle 4,00,000$ Patents $\displaystyle 1,20,000$ Profit and Loss A/c $\displaystyle 1,00,000$ $\displaystyle 17,40,000$ $\displaystyle 17,40,000$ Reyansh retired on the above date and it was agreed that : (i) Go odwill of the firm on Reyansh's retirement was valued at ₹ $\displaystyle 12,00$,000. (ii) Aayushman and Sabhya will share future profits in the ratio of $\displaystyle 2$ : 3. (iii) An unrecorded creditor of ₹ $\displaystyle 40,000$ will be taken into account. (iv) Debtors of ₹ $\displaystyle 30,000$ will be written off as bad debts. (v) Amount payable to Reyansh was to be transferred to his loan amount. Pass necessary journal entries for the above transactions in the books of the firm.