On the basis of the information given answer the question below :
Akhil, Karan and Sakshi are partners sharing profits in the ratio 5 : 3 : 2. Goodwill already appear in the books ₹60,000. Karan decided to retire from the firm. Goodwill of the firm was valued at ₹2,40,000. Existing partners decided to share profits in the ratio 3 : 2.
Amount of existing goodwill debited to Akhil's capital account is:
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) - ₹30,000.
Existing goodwill is distributed in old ratio between old partners.
Existing goodwill = 60,000
Old ratio = 5:3:2
Akhil share = 60,000 x 5/10
= ₹30,000