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Question
Anita and Babita were partners sharing profits and losses in the ratio of 3 : 1. Savita was admitted for `1/5`th share in the profits. Savita was unable to bring her share of goodwill premium in cash. The journal entry recorded for goodwill premium is given below:
| Date | Particulars | L.F. | Amount Dr. (₹) |
Amount Cr. (₹) |
| Savita's Current A/c Dr. | 24,000 | - | ||
| To Anita's Capital A/c | - | 8,000 | ||
| To Babita's Capital A/c | - | 16,000 | ||
| (Being adjustment of goodwill premium on Savita's Admission) |
The new profit sharing ratio of Anita, Babita and Savita, will be:
Options
41 : 7 : 12
13 : 12 : 10
3 : 1 : 1
5 : 3 : 2
MCQ
Solution
41 : 7 : 12
Explanation:
New share = Old share − Sacrificing share
Anita's new share = `3/4 - (1/5 xx 1/3) = 3/4 - 1/15 = 41/60`
Babita's new share = `1/4 - (1/5 xx 2/3) = 1/4 - 2/15 = 7/60`
Sarita's share = `1/5 xx 12/12 = 12/60`
shaalaa.com
Effect of Admission of a Partner on Change in the Profit Sharing Ratio
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