A, B and C were partners sharing profits and losses in the ratio of 3 : 2 : 1. The Balance Sheet of the firm as on 1.1.2017 was as under:On the above date, the partners decided to change their profit sharing ratio to 1 : 2 : 3. Goodwill was valued at ₹18,000. No entries were, however, passed to give effect to this change. The Balance Sheet of the firm as on 31.12.2017 was as under

You are required to pass necessary Journal Entries to give effect to the above change in the constitution of the firm on 1.1.2017. Draw also the revised Balance Sheet as on 31.12.2017.

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Liabilities Capital Accounts: (A 30,000; B 20,000; C 10,000) General Reserve Capital Reserve Creditors ₹ Fixed Assets 60,000 Stock 12,000 Debtors 9,000 Bank 39,000 1,20,000 Assets ₹ 40,000 40,000 30,000 10,000 1,20,000