MENU
Question -

Amar and Akbar are equal partners in a firm. They admitted Anthony as a new partner and the new profit sharing ratio is 4:3:2. Anthony could not bring this share of goodwill ₹ 45,000 in cash. It is decided to do adjustment for goodwill without opening goodwill account. Pass the necessary journal entry for the treatment of goodwill?



Answer -


Books of Amar, Akbar and Anthony

Journal

 

Date

Particulars

L.F.

Amount

₹

Amount

₹

 

Anthony’s Capital A/c

Dr.

 

45,000

 

 

To Amar’s Capital A/c

 

 

 

11,250

 

To Akbar’s Capital A/c

 

 

 

33,750

 

(Adjustment of Anthony’s share of goodwill between

Amar and Akbar in sacrificing ratio)

 

 

 

 

 

 

 

 
Working Notes:
1) Sacrificing Ratio = Old Ratio − New Ratio
 
Sacrificing Ratio between Amar and Akbar = 1:3.

Comment(S)

Show all Coment

Leave a Comment

Free - Previous Years Question Papers
Any questions? Ask us!
NodeJS Interview Questions Answers
ASP.Net Interview Questions Answers
Interview Questions Answers
×