R. S and I were partners in a firm sharing profits in the ratio of 1:...

  

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R. S and I were partners in a firm sharing profits in the ratio of 1: 2: 3. Their Balance sheet as on 31.3.2015 as follows. Refer image, R. S and I decided to share the profits equally with effect from 1.4.2015. For this it was agreed that: (a) Goodwill of the firm be valued at Rs.1, 50, 000. (b) Land be revalued at Rs.80, 000 and building be depreciated by 6%. (c) Creditors of Rs.6, 000 were not likely to be claimed and hence be written off. Prepare Revaluation Account, Partner's Capital Accounts and the Balance Sheet of the reconstituted firm. Liabilities Creditors Balance Sheet of R,S and T as on 31.3.2015 Amount Assets Rs. 50,000 Bills Payable General Reserve Capital: R 1,00,000 S 50,000 T 25,000 20,000 30,000 1,75,000 2,75,000 Land Building Plant Stock Debtors Bank Amount Rs. 50,000 50,000 1,00,000 40,000 30,000 5,000 2,75,000 R. S and I were partners in a firm sharing profits in the ratio of 1: 2: 3. Their Balance sheet as on 31.3.2015 as follows. Refer image, R. S and I decided to share the profits equally with effect from 1.4.2015. For this it was agreed that: (a) Goodwill of the firm be valued at Rs.1, 50, 000. (b) Land be revalued at Rs.80, 000 and building be depreciated by 6%. (c) Creditors of Rs.6, 000 were not likely to be claimed and hence be written off. Prepare Revaluation Account, Partner's Capital Accounts and the Balance Sheet of the reconstituted firm. Liabilities Creditors Balance Sheet of R,S and T as on 31.3.2015 Amount Assets Rs. 50,000 Bills Payable General Reserve Capital: R 1,00,000 S 50,000 T 25,000 20,000 30,000 1,75,000 2,75,000 Land Building Plant Stock Debtors Bank Amount Rs. 50,000 50,000 1,00,000 40,000 30,000 5,000 2,75,000

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Dr Building Ac Revaluation Profit R S T Dr Particulars Particulars Ts Capit... View the full answer