Amar and Akhar are partners sharing profits in the ratio of 2: 1. On 31st March, 2022, their Balance Sheet showed General Reserve of Rs. 60,000. It was decided that in future they will share profits and losses in the ratio of 3: 2. Pass necessary Journal entry in each of the following alternative cases: (i) When General Reserve is not to be shown in the new Balance Sheet. (ii) When General Reserve is to be shown in the new Balance Sheet.

Amar and Akhar are partners sharing profits in the ratio of 2: 1. On 31st March, 2022, their Balance Sheet showed General Reserve of Rs. 60,000. It was decided that in future they will share profits and losses in the ratio of 3: 2. Pass necessary Journal entry in each of the following alternative cases: (i) When General Reserve is not to be shown in the new Balance Sheet. (ii) When General Reserve is to be shown in the new Balance Sheet.

Post category:Accountancy
Reading time:1 mins read

SOLUTION

Leave a Reply Cancel reply

You must be logged in to post a comment.