[CBSE] Q. 25 solution of Retirement of Partner TS Grewal Class 12 (2026-27)

Solution to Question number 25 of the Retirement of Partner chapter 5 of TS Grewal Book 2026-27 Edition CBSE Board.

A, B and C were partners in a firm sharing profits in the ratio of 6 : 5 : 4. Their capitals were A – ₹ 1,00,000; B – ₹ 80,000 and C – ₹ 60,000 respectively. On 1st April, 2009, A retired from the firm and the new profit sharing ratio between B and C was decided as 1 : 4. On A’s retirement, the goodwill of the firm was valued at ₹ 1,80,000. Showing your calculations clearly, pass the necessary Journal entry for the treatment of goodwill on A’s retirement.

[Ans.: C’s Gain – 8/15, B’s Sacrifice – 2/15; Dr. C’s Capital A/c by ₹ 96,000; Cr’s A’s Capital A/c by ₹ 72,000 and B’s Capital A/c by ₹ 24,000.]

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