Following is the Balance Sheet of Suhail and Sahil as at 31st March, 2023 who share profits and losses in proportion of 3 : 2.
Following is the Balance Sheet of Suhail and Sahil as at 31st March, 2023 who share profits and losses in proportion of 3 : 2.
| Liabilities | ₹ | Assets | ₹ |
| Sundry Creditors
General Reserve Workmen Compensation Reserve Capital A/cs: Suhail Sahil |
30,000
35,000 15,000 25,000 20,000 |
Cash at Bank
Debtors Stock Land and Building Plant and Machinery |
22,500
27,50 30,000 20,000 25,000 |
| 1,25,000 | 1,25,000 |
They admit Samay into partnership on 1st April, 2023 on the following terms:
(i) Provision for Doubtful Debts is to be increased by ₹ 5,000.
(ii) Value of Land and Building is to be increased to ₹ 45,000.
(iii) Value of Stock is to be increased by ₹ 10,000.
(iv) Liability for Workmen’s Compensation is determined at ₹ 5,000.
(v) Samay brought in as his share of Goodwill ₹ 25,000 in cash.
(vi) Samay was to bring further cash as would make his capital equal to 20% of the total capital of partners after above revaluation and adjustment are carried out.
Prepare Revaluation Account, Partner’s Capital Accounts and Balance Sheet of the firm after the admission of Samay.
Anurag Pathak Changed status to publish July 17, 2023
