Accountancy

Bharati and Astha were partners sharing profits in the ratio of  3 : 2. They admitted Dinkar as a new partner for 1/5th share in the future profits of the firm which he got equally from Bharati and Astha. Calculate the new profit-sharing ratio of Bharati, Astha and Dinkar.

Solution Calculation of New Profit-Sharing RatioBharti: Astha = 3: 2 (Old Ratio)Dinkar = 1/5Bharti's sacrifice = 1/5 × 1/2 = 1/10Astha's sacrifice = 1/5 × 1/2 = 1/10Bharti's new share = 3/5−1/10 = 6−1/10 = 5/10Astha's new share = 2/5−1/10 = 4−1/10…

Continue ReadingBharati and Astha were partners sharing profits in the ratio of  3 : 2. They admitted Dinkar as a new partner for 1/5th share in the future profits of the firm which he got equally from Bharati and Astha. Calculate the new profit-sharing ratio of Bharati, Astha and Dinkar.

A, B and C were partners in a firm sharing profits in the ratio of  3 : 2 : 1. They admitted D as a new partner for 1/8th share in the profits, which he acquired 1/16th from B and 1/16th from C. Calculate the new profit-sharing ratio of A, B, C and D. 

Solution A, B and C shares profits in the ratio of  3 : 2 : 1.D’s share = 1/8 (D acquired 1/16 from B and C each)A’s share = 3/6 (retains original share) B’s new share = 2/6-1/16 = 13/48          C’s new share…

Continue ReadingA, B and C were partners in a firm sharing profits in the ratio of  3 : 2 : 1. They admitted D as a new partner for 1/8th share in the profits, which he acquired 1/16th from B and 1/16th from C. Calculate the new profit-sharing ratio of A, B, C and D. 

A and B are partners sharing profits and losses in the proportion of  7: 5. They agree to admit C, their manager, into partnership who is to get 1/6th share in the profits. He acquires this share as 1/24th from A and 1/8th from B. Calculate new profit-sharing ratio. 

Solution  ABOLD RATIO7 5 C admits for 1/6 share of profitA sacrifice  his share of profit in favour of C = 1/24B sacrifices his share of profit in favour of C = 1/8 New Ratio = Old…

Continue ReadingA and B are partners sharing profits and losses in the proportion of  7: 5. They agree to admit C, their manager, into partnership who is to get 1/6th share in the profits. He acquires this share as 1/24th from A and 1/8th from B. Calculate new profit-sharing ratio. 

Ravi and Mukesh are sharing profits in the ratio of 7 : 3. They admit Ashok for 3/7th share in the firm which he takes 2/7th from Ravi and 1/7th from Mukesh. Calculate new profit-sharing ratio.

Solution Answer:  XYNew Profit-Sharing ratio 20/50      12/50 Ashok admits for 3/7 share of profitRavi sacrifices in favour of Ashok = 2/7Mukesh sacrifices in favour of Ashok = 1/7                New Ratio = Old Ratio − Sacrificing Ratio  Ravi =…

Continue ReadingRavi and Mukesh are sharing profits in the ratio of 7 : 3. They admit Ashok for 3/7th share in the firm which he takes 2/7th from Ravi and 1/7th from Mukesh. Calculate new profit-sharing ratio.

X, Y and Z are partners sharing profits and losses in the ratio of 5 : 3 : 2. They admit A into partnership and give him 1/5th share of profits. Find the new profit-sharing ratio.

Solution  XYZOLD RATIO5  3  2 A is admitted for 1/5 share of profitLet the combined share of profit for all partners after A’s admission be = 1Combined share of X, Y and…

Continue ReadingX, Y and Z are partners sharing profits and losses in the ratio of 5 : 3 : 2. They admit A into partnership and give him 1/5th share of profits. Find the new profit-sharing ratio.

Suresh, Ramesh, Mahesh and Ganesh were partners in a firm sharing profits in the ratio of 2 : 2 : 3 : 3. On 1st April, 2016, their Balance Sheet was as follows:

BALANCE SHEET OF SURESH, RAMESH, MAHESH AND Ganesh as on 1st April, 2016 LiabilitiesAmount(Rs.)AssetsAmount(Rs.)Capital A/c: Fixed Assets6,00,000 Suresh - 1,00,000 Current Assets3,45,000 Ramesh  -  1,50,000    Mahesh - 2,00,000   Ganesh - 2,50,0007,00,000 Sundry Creditors 1,70,000 Workmen Compensation Reserve 75,000   9,45,000 9,45,000 From the above date,…

Continue ReadingSuresh, Ramesh, Mahesh and Ganesh were partners in a firm sharing profits in the ratio of 2 : 2 : 3 : 3. On 1st April, 2016, their Balance Sheet was as follows:

Ram, Mohan, Sohan and Hari were partners in a firm sharing profits in the ratio of 4 : 3 : 2 : 1. On 1st April, 2016, their Balance Sheet was as follows:

BALANCE SHEET OF RAM, MOHAN, SOHAN AND HARI as on 1st April, 2016 LiabilitiesAmount (Rs.)AssetsAmount (Rs.)Capital A/c : Fixed Assets9,00,000 Ram - 4,00,000 Current Assets5,20,000 Mohan - 4,50,000   Sohan - 2,50,000   Hari - 2,00,00013,00,000 Workmen Compensation Reserve 1,20,000   14,20,000  14,20,000 From…

Continue ReadingRam, Mohan, Sohan and Hari were partners in a firm sharing profits in the ratio of 4 : 3 : 2 : 1. On 1st April, 2016, their Balance Sheet was as follows:

Balance Sheet of X and Y, who share profits and losses as 5 : 3, as at 1st April, 2019 is:

LiabilitiesAmount(Rs.)AssetsAmount(Rs.)X's Capital52,000Goodwill8,000Y's Capital54,000Machinery38,000General Reserve4,800Furniture15,000Sundry Creditors5,000Sundry Debtors33,000Employees' Provident Fund1,000Stock7,000Workmen Compensation Reserve10,000Bank25,000  Advertisement Suspense A/c     800 1,26,800 1,26,800 On the above date, they decided to change their profit-sharing ratio to 3 : 5 and agreed…

Continue ReadingBalance Sheet of X and Y, who share profits and losses as 5 : 3, as at 1st April, 2019 is:

A, B and C were partners in a firm sharing profits in the ratio of 3 : 2 : 1. Their Balance Sheet as on 31st March, 2015 was as follows:

LiabilitiesAmount (Rs.)AssetsAmount  (Rs.)Creditors50,000Land50,000Bills Payable20,000Building50,000General Reserve30,000Plant1,00,000Capital A/cs: Stock40,000 A - 1,00,000 Debtors30,000 B - 50,000 Bank5,000 C - 25,0001,75,000  2,75,000 2,75,000  From 1st April, 2015, A, B and C decided to share profits equally. For this it was agreed that:(i) Goodwill of the firm…

Continue ReadingA, B and C were partners in a firm sharing profits in the ratio of 3 : 2 : 1. Their Balance Sheet as on 31st March, 2015 was as follows: