Anita and Barun are partners sharing profits equally with capitals of Rs. 45,000 each. They admitted Chirag as a new partner for 1/3rd share in the profit. On the day of admission, profit and loss account in the balance sheet shows a debit balance of Rs. 30,000. Chirag brings in Rs. 60,000 as his capital. What will be the amount of goodwill brought by Chirag?
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Rs. 20,000
When the value of goodwill is not given, it is worked out from the new partner's capital and share. This is hidden goodwill: the capital the firm should have, based on Chirag's capital and share, minus the capital it actually has. Here the old partners' capitals must first be reduced by the debit balance of the Profit and Loss Account, because that loss belongs to Anita and Barun and cuts their real capital.
Total capital of the new firm = Rs. 60,000 × 3 = Rs. 1,80,000
Anita and Barun's capitals = Rs. 45,000 + Rs. 45,000 = Rs. 90,000
Less debit balance of Profit and Loss Account = Rs. 30,000
Adjusted capitals of Anita and Barun = Rs. 60,000
Actual total capital = Rs. 60,000 + Rs. 60,000 (Chirag) = Rs. 1,20,000
Goodwill of the firm = Rs. 1,80,000 − Rs. 1,20,000 = Rs. 60,000
Chirag's share of goodwill = Rs. 60,000 × 1/3 = Rs. 20,000
Leaving out the Rs. 30,000 loss gives a goodwill of Rs. 30,000 and a share of Rs. 10,000, which is the book's answer for its own figures, not for this question.
Note: NTA picked this question from a worked example in NCERT (2026-27) and changed the figures. Do not ignore NCERT while practising numericals.
NCERT (2026-27 edition):
|
