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Home Questions KMZM9QYY28
Target Exam

CUET

Subject

Accountancy

Chapter

Admission of a Partner

Question:

A and B share profits and losses equally. They have ₹20,000 each as capital. They admit C as a partner. Goodwill was valued at ₹30,000. C is to bring in ₹30,000 as his capital for his 1/3rd share and necessary cash towards his share of goodwill. Goodwill Account will not remain open in books. If profit on revaluation is ₹13,000, find the closing balance of the capital accounts.

Options:

₹31,500; ₹31,500; ₹30,000

₹31,500; ₹31,500; ₹20,000

₹26,500; ₹26,500; ₹30,000

₹20,000; ₹20,000; ₹30,000

Correct Answer:

₹31,500; ₹31,500; ₹30,000

Explanation:
Particulars A B C Particulars A B C
        By bal b/d 20,000 20,000 -
        By Bank     30,000
        By premium for goodwill a/c 5,000 5,000  
By bal c/d(bf) 31,500 31,500 30,000 By revaluation a/c 6,500 6,500  
  31,500 31,500 30,000   31,500 31,500 30,000

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