Usha and Disha are partners sharing profits in the ratio of 2:1. Usha's son Ashish was admitted for 1/4th share of which 1/8th was gifted by Usha to her son and the remaining was contributed by Disha. The goodwill of the firm is valued at Rs. 40,000. How much of the premium for goodwill will be credited to the old partners' capital account in case of admission of Ashish.

Rs. 5,000 each

Correct answer: Option (2) → Rs. 5,000 each

Concept: The premium for goodwill relating to the incoming partner’s share is credited to the sacrificing partners in their sacrificing ratio – per Reconstitution of a Partnership Firm – Admission of a Partner.

Ashish’s share = 1/4, so goodwill for his share = 40,000 × 1/4 = Rs 10,000.
Usha sacrifices 1/8 and Disha sacrifices 1/8, so the sacrificing ratio is 1 : 1.
Premium credited = 10,000 shared 1 : 1 = Rs 5,000 to Usha and Rs 5,000 to Disha, i.e. Rs 5,000 each.