A, B and C shared profits and losses in the ratio of 3 : 2 : 1 respectively. With effect from 1st April, 2023, they agreed to share profits equally. The goodwill of the firm was valued at ₹ 18,000.
A, B and C shared profits and losses in the ratio of 3 : 2 : 1 respectively.
With effect from 1st April, 2023, they agreed to share profits equally.
The goodwill of the firm was valued at ₹ 18,000.
Pass necessary Journal entries when:
(a) Goodwill is adjusted through Partner’s Capital Accounts; and
(b) Goodwill is raised and written off.
Anurag Pathak Changed status to publish April 28, 2023
