| Liabilities | Amount (Rs.) | Assets | Amount (Rs.) |
| Creditors | 30,000 | Cash | 4,000 |
| Bills Payable | 1,000 | Debtors | 50,000 |
| Reserve Fund | 16,000 | Less: Provision for Doubtful Debts – 5,000 | 45,000 |
| Outstanding Salary | 3,000 | Stock | 30,000 |
| Capital A/c : | Bills Receivable | 10,000 | |
| Pradeep – 60,000 | Patents | 1,000 | |
| Dhanraj – 20,000 | 80,000 | Machinery | 40,000 |
| 1,30,000 | 1,30,000 |
They admitted Leander as a new partner on this date. New profit-sharing ratio is agreed as 3 : 2 : 3. Leander brings in proportionate capital after the following adjustments:
(a) Leander brings Rs. 16,000 as his share of goodwill.
(b) Provisions for Doubtful Debts is to be reduced by Rs. 2,000.
(c) There is an old Printer valued at Rs. 2,400. It does not appear in the books of the firm. It is now to be recorded.
(d) Patents are valueless.
Prepare Revaluation Account, Capital Accounts and opening Balance Sheet of Pradeep, Dhanraj and Leander.
SOLUTION
