Pronoy, Jagjit and Sachin are partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. They admit Rajdeep as a partner and share future profits and losses equally with effect from 1st April, 2023. An extract of their Balance Sheet as at 31st March, 2023 is:
Pronoy, Jagjit and Sachin are partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. They admit Rajdeep as a partner and share future profits and losses equally with effect from 1st April, 2023. An extract of their Balance Sheet as at 31st March, 2023 is:
| Liabilities | ₹ | Assets | ₹ |
| Workmen Compensation Reserve |
12,000 | ——————- | ——- |
Show the accounting treatment of Workmen Compensation Reserve under following alternative cases:
Case 1. When there is no other information.
Case 2. When a claim on account of Workmen Compensation is ₹ 1,500.
Case 3. When a claim on account of Workmen Compensation is ₹ 22,000.
Anurag Pathak Changed status to publish July 12, 2023
