Goodwill Entries

1-        Bank A/c         Dr.           40000

      To Y’s capital A/c                        40000

( Being Capital brought in by Yogesh)

2-       N’s cap. A/c     Dr.          12000

S’s  Cap. A/c      Dr.          18000

        To Y’s Cap. A/c                             30000

( Being Yogesh compensated for his consultancy in ratio of 2:3 from

 Nilesh capital and Shankar capital)

3-       Y’s Cap.A/c         Dr.  15000

      To  N’s cap. A/c                         15000

 ( Being 1/6^th share of goodwill credited to Nilesh only

   As per agreement and credited to Nilesh in accordance to AS-26)

Hope you understood….