Cpt-accountancy problem solve

1).a,b,c are partners showing profits in the ratio of 4:3:2.d is admitted for 2/9 th share of profits & brings 30000 as his capital & 10000 for his share of goodwill.the new sharing ratio between partners will be 3:2:2:2.goodwill a/c is credited in the capital accounts of -----------?

2).a,r,s are partners sharing profit & losses in the ratio of 5:4:3.s retires & if a & r shares profit of s in 4:3 then new profit sharing ratio is-----------------?

Replies (9)

1) a&b

 

2) 47:37

please elaborately solve those problem.

in first problem of the above,why goodwill is credited in a & b.why not c?-------------------

QUESTION No  1. THERE ARE VARIOUS TREATMENT OF GOODWILL

ALTERNATIVE-1 Cash A/C...............Dr      40000

                                   To D's Capital A/C                 40000

 

                                 D's Capital A/C...................Dr      10000

                                       To A's Capital A/C                           5000

                                       To B's Capital A/C                           5000

                          (Being the goodwill credited to the sacrificing partners in

                            their sacrificing ratio 1:1)

ALTERNATIVE- 2       Cash A/C...........................Dr       40000

                                             To D's Capital A/C                        30000

                                             To Goodwill A/C                             10000

 

                                      Goodwill A/C.................Dr            10000

                                             To A's Capital A/C                        5000

                                             To B's Capital A/C                        5000

                                 (Naration same as above)

                    Sacriticing Ratio  (Old ratio - New ratio)

                                        A = 4/9 - 3/9 = 1/9 (Sacrifice)

                                       B = 3/9 - 2/9 = 1/9 (Sacrifice)

                                      C = 2/9 - 2/9 =  0 (No Sacrifice)

      Therefore, Sacrificing Ratio  A : B = 1/9 : 1/9 or 1 : 1

 

QUESTION 2                                              

                                                                                                                a                                         r

   (A) Existing Ratio                                                                         5/12                                    4/12

   (B) Shares acquired from s                                                 3/12 * 4/7                             3/12 * 3/7

                                                                                                       = 12/84                                  = 9/84

    (C) New Ratio                                                                    5/12 + 12/84                           4/12 + 9/84

                                                                                                      47/84                                            37/84

                                                                                                                              47:37  

 

 

PLEASE SEE THE WORKING OF Q -1 THAT C DOES NOT MAKE ANY SACRIFICE IN D'S ADMISSION.

SO, NOTHING WILL BE CREDITED IN C'S CAPITAL A/C

second answer  by the above person is totally wrong

47: 37

QUESTION NO 2

  EXISTING RATIO  a : r : s    5/12 : 4/12 : 3/12

  Shares acquires from s (In the ratio of 4:3) by a and r

                    a     3/12 * 4/7  = 12/84

                    r       3/12 * 3/7 = 9/84

New Ratio   

      a    5/12 + 12/84 = 47/84

       r    4/12 + 9/84 = 37/84

    a : r   47 : 37

thanks to all-----------------------------------------------------------infinite.

IN above question goodwill are divided in scrifice atio becouse A nd B Sacrifise and C ratio are same as campared to old ratio so that goodwill  are share A nd B only

Sacrifice ratio  Calculate by

Old  Ratio - New Ratio n =  Sacrifice   Ratio

 

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