[DK Goel] Q. 35, 36 Retirement of Partner Solutions Class 12 CBSE (2026-27)

Here are the solutions of Question number 35 and 36 of Retirement of Partner chapter 5 of DK Goel Class 12 CBSE (2026-27)

Q. 35. Manoj, Naveen and Deepak were partners sharing profits and losses in the ratio of 4 : 3 : 2. As at 1st April 2022, their Balance Sheet was as follows:

Liabilities	₹	Assets	₹
Trade Creditors	7,000	Cash in Hand	5,900
Capitals: Manoj Naveen Deepak	50,000 39,000 30,000	Debtors 19,000 Less: Provision 1,400	17,600
		Stock	13,500
		Plant and Machinery	18,000
		Motor Car	20,000
		Buildings	48,000
		Goodwill	3,000
	1,26,000		1,26,000

Deepak retired on the above date as per the following terms:

1. Goodwill of the firm was valued at ₹ 21,000.
2. Stock to be appreciated by 10%.
3. Provision for doubful debts should be 5% on debtors
4. Machinery is to be valued at 5% more than its book value.
5. Motor car is revalued at ₹ 15,500. Retiring partner took over Motor Car at this value.
6. Deepak be paid ₹ 2,000 in cash and balance be transferred to his loan account.

Show necessary journal entries. Prepare Revaluation Account, Capital Accounts and Opening Balance Sheets of continuing partners.

[Ans. Loss on Revaluation ₹ 1,800; Deepak’s Loan A/c ₹ 16,100; Capitals : Manoj ₹ 45,200; Naveen ₹ 35,400; B/S total ₹ 1,03,700.]

Hint: Goodwill amounting to ₹ 3,000 will be written off among old partners in old ratio and Deepak’s Share in ₹ 21,000 will be debited to the accounts of Manoj and Naveen in gaining ratio i.e., 4 : 3.

Solution:-

Q. 36. Sameer, Yasmin and Saloni were partners in a firm sharing profits and losses in the ratio of 4 : 3 : 3. On 31.3.2016, their Balance Sheet was as follows:

Balance Sheet of Sameer, Yasmin and Saloni as at 31st Marc

Liabilities	₹	Assets	₹
Creditors	1,10,000	Cash	80,000
General Reserve	60,000	Debtors 90,000 Less: 10,000	80,000
Capitals: Sameer Yasmin Saloni	3,00,000 2,50,000 1,50,000	Stock	1,00,000
		Machinery	3,00,000
		Building	2,00,000
		Patents	60,000
		Profit and Loss Account	50,000
	8,70,000		8,70,000

On the above date, Sameer retired and it was agreed that:

(i) Debtors of ₹ 4,000 will be written off as bad debts and a provision of 5% on debtors for bad and doubtful debts will be maintained.

(ii) An unrecorded creditor of ₹ 20,000 will be recorded.

(iii) Patents will be completely written off and 5% depreciation will be charged on stock, machinery and building.

(iv) Yasmin and Saloni will share profits in the ratio of 3 : 2.

(v) Goodwill of the firm on Sameer’s retirement was valued at ₹ 5,40,000.

Pass necessary journal entries for the above transactions in the books of the firm on Sameer’s retirement.

[Ans. Loss on Revaluation ₹ 1,08,300; Amount transferred to Sameer’s Loan A/c ₹ 4,76,680.]

Solution:-