[ISC] Q. 26 Solution of Admission of Partner TS Grewal Accounts Class 12 (2023-24)

Solution to Question number 26 of the Admission of partner chapter 3 of TS Grewal Book 2023-24 Edition ISC/CISCE Board.

Sachin and Kapil are partners sharing profits and losses in the ratio of 2 : 3. On 1st April, 2023, they admit Amit into partnership for 1/4th share in profits. Amit brought ₹ 2,00,000 for his capital and ₹ 36,000 as premium for his share in the profits. The new profit sharing ratio of Sachin, Kapil and Amit is agreed to be 3 : 3 : 2. Sachin Kapil withdraw the premium for goodwill from the business.

Pass necessary Journal entries when the firm follows Fixed Capital Accounts Method.

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