Q 1 A and B carried on business in partnership since 1990 sharing profits and losses in the ratio of 2:1 respectively. They admitted C on 01 April 1994 for 2/7th share. The actual value of goodwill, however, on that date was Rs 21000. C contributed the following assets towards payment of his Capital and Goodwill:
Cash : 1000
Sundry Debtors : 5000
Stock : 6000
Goodwill : 5000
Pass necessary entries in the journal to give effect to the above. Also give the new profit sharing ratio of the partners.
Ans 1
CAclubindia
