Advertisements
Advertisements
Question
X, Y and Z were partners sharing profits in the ratio of 1/2, 3/10 and 1/5. X retired from the firm. Calculate the gaining ratio of the remaining partners
Solution
Calculation of Gaining Ratio:
X:Y: Z
Old Ratio = `1/2 : 3/10:1/5`
`(5:3:2)/10`
New Ratio = 3:2
Gaining Ratio= New Ratio - Old Ratio
Y's Gain = `3/5 - 3/10 = 3/10`
Z' Gain = `2/5 - 2/10 = 2/10`
Gaining Ration = 3:2
APPEARS IN
RELATED QUESTIONS
Asha and Aditi are partners in a firm sharing profits and losses in the ratio of 3: 2. They admit Raghav as a partner for `1/4`th share in the profits of the firm. Raghav brings Rs 6,00,000 as his capital and his share of goodwill in cash. Goodwill of the firm is to be valued at two years' purchase of average profits of the last four years.
The profits of the firm during the last four years are given below:
| Year | Profit Rs |
| 2013-14 | 3,50,000 |
| 2014-15 | 4,75,000 |
| 2015-16 | 6,70,000 |
| 2016-17 | 7,45,000 |
The following additional information is given:
1) To cover management cost an annual charge of Rs 56,250 should be made for the purpose of valuation of goodwill.
2) The closing stock for the year ended 31.3.2017 was overvalued by Rs 15,000.
Pass necessary journal entries on Raghav's admission showing the working notes clearly.
Manika, Nishtha and Sakshi were partners in a firm sharing profits in the ratio of 2 : 2 : 1 respectively. On 31st March, 2013 their Balance Sheet was as under:
|
Balance Sheet as on 31st March, 2013 |
||||
|
Liabilities |
Amount Rs |
Assets |
Amount Rs |
|
|
Capitals: |
|
Fixed Assets |
3,60,000 |
|
|
Manika |
2,80,000 |
|
Debtors |
2,80,000 |
|
Nishtha |
3,00,000 |
|
Stock |
1,30,000 |
|
Sakshi |
1,00,000 |
6,80,000 |
Cash |
4,60,000 |
|
Reserve Fund |
3,00,000 |
|
|
|
|
Creditors |
2,50,000 |
|
|
|
|
|
12,30,000 |
|
12,30,000 |
|
|
|
|
|
||
Sakshi died on 1st July, 2013. It was agreed between her executors and the remaining partners that:
(a) Goodwill of the firm be valued at 3 years' purchase of average profits for the last three years. The average profits were Rs 5,00,000.
(b) Interest on capital be provided at 12% p.a.
(c) Her share in the profits upto the date of death will be calculated on the basis of average profits for the last three years.
Prepare Sakshi's Capital Account as on 1st July, 2013.
Anil, Vineet and Vipul were partners in a firm manufacturing food items. They were sharing profits in the ratio of 5 : 3 : 2. Their capitals on 1st April, 2012 were Rs 4,00,000, Rs 5,00,000 and 9,00,000 respectively. After the floods in Uttranchal, all partners decided to help the flood victims personally.
For this Anil withdrew Rs 30,000 from the firm in 30th September, 2012. Vineet instead of withdrawing cash from the firm took some food items amounting to Rs 25,000 from the firm and distributed those to flood victims. On the other hand, Vipul withdrew Rs 2,50,000 from his capital on 1st January, 2013 and built a shelter-home to help flood victims.
The partnership deed provides for charging interest on drawings @6% p.a. After the final accounts were prepared it was discovered that interest on drawings had not been charged. Give the necessary adjusting entry and show the working notes clearly. Also state any two values that the partners wanted to communicate to the society.
A, B and C were partners in a firm sharing profits in the ratio of 6 : 5 : 4. Their capitals were A, Rs 1,00,000, B Rs 80,000 and C Rs 60,000 respectively. On 1st April 2009 ‘C’ retired from the firm and the new profit sharing ratio between A and B was decided as 11 : 4. On C’s retirement the goodwill of the firm was valued at Rs 90,000. Showing your calculation clearly, pass necessary journal entry for the treatment of goodwill on C’s retirement.
Gopal, Krishna and Govind were partners sharing profits and losses in the ratio of 5:4:3. Krishna retired on 1st April 2022. Gopal and Govind purchased his share of profit by giving him ₹ 1,20,000. ₹ 80,000 was paid by Gopal and ₹ 40,000 by Govind. Gaining ratio is ______.
Tarun, Abhishek, Kamal and Vivek were partners in a firm sharing profits in the ratio of 5:3:2:2. Kamal retired on 31st March, 2022. Tarun, Abhishek and Vivek decided to share future profits equally. On Kamal's retirement goodwill of the firm was valued at ₹ 9,00,000. Showing your working clearly, pass the necessary journal entry for treatment of goodwill on Kamal's retirement. It was decided not to show goodwill in the books of the firm.
Anshul, Babita and Chander were partners in a firm running a successful business of car accessories. They had agreed to share profits and losses in the ratio of 1/2:1/3:1/6 respectively. After running business successfully and without any disputes for 10 years, Babita decided to retire due to old age and the Anshul and Chander decided to share future profits and losses in the ratio of 3:2. The accountant passed the following journal entry for Babita share of goodwill and missed some information. Fill in the missing figures in the following Journal entry and calculate the gaining ratio.
| Date | Particulars | L.F | Dr. | Cr. |
| Anshul’s Capital A/c ...Dr | ______ | |||
| Chander’s Capital A/c ...Dr | 21,000 | ______ | ||
| To Babita’s Capital A/c | ||||
| (Chander’s share of Goodwill debited to the amounts of continuing partners in their gaining ratio) |
