Read the following passage and answer the question.

In a partnership firm, A B, and C are partners sharing profits and losses in the ratio of 3:2:1. Their capitals were of ₹1,00,000, ₹2,00,000 and ₹50,000 respectively. On August 2nd, 2021, B died. A and C decided to give the share of B to his executive on 5th August. Sales and profits for the previous year were ₹5,00,000 and ₹3,00,000 respectively, whereas the sale of the firm till the date of B's death was ₹3,00,000. Goodwill of the firm was revalued at ₹2,40,000. The firm follows the financial accounting year.

Journal Entry entry for B's share of premium for Goodwill would be -

A's capital A/c Dr.    ₹60,000
C's capital  A/c Dr.   ₹20,000
      To  B's Capital A/c    ₹80,000
(Premium for goodwill recorded)

The correct answer is option 1-
A's capital A/c Dr.    ₹60,000
C's capital  A/c Dr.   ₹20,000
      To  B's Capital A/c    ₹80,000
(Premium for goodwill recorded)

Goodwill of the firm =  ₹2,40,000
Share of B in Goodwill = 2,40,000 x 2/6
                                   = 80,000

Gained share = New share - Old share
A = 3/4 - 3/6
   = 3/12
C = 1/4 - 1/6
   = 1/12
Gaining ratio = 3:1

A will give = 80,000 x 3/4
                 = 60,000

C will give = 80,000 x 1/4
                 = 20,000

So, the following entry is passed for this-
A's capital A/c Dr.    ₹60,000
C's capital  A/c Dr.   ₹20,000
      To  B's Capital A/c    ₹80,000
(Premium for goodwill recorded)