[DK Goel] Q. 45, 46 Retirement of Partner Solutions Class 12 CBSE (2026-27)
Here are the solutions of Question number 45 and 46 of Retirement of Partner chapter 5 of DK Goel Class 12 CBSE (2026-27)
Q. 45. A, B and C are partners sharing profits in 4 : 3 : 3. Their Balance Sheet as at 31st March 2020 was as follows:
| Liabilities | ₹ | Assets | ₹ |
| Sundry Creditors | 1,20,000 | Land and Building | 5,00,000 |
| General Reserve | 40,000 | Stock | 2,40,000 |
| Capital Accounts: A B C | 4,00,000 2,00,000 2,00,000 | Debtors 1,50,000 Less: Provision for Doubtful Debts 30,000 | 1,20,000 |
| Cash at Bank | 1,00,000 | ||
| 9,60,000 | 9,60,000 |
C retires on 1st April, 2020 and A and B decide to share future profits in the ratio of 6 : 4. It is agreed that:
(I) Goodwill of the firm is valued at ₹ 80,000.
(ii) Land & Building is undervalued by ₹ 1,00,000 and Stock is overvalued by 20%.
(iii) Provision for Doubtful Debts is to be decreased to ₹ 10,000.
(iv) Computer valued ₹ 30,000 was unrecorded in the books.
It was decided to pay off C by giving him this computer and the balance in annual instalments of ₹ 1,00,000 together with interest @ 10% p.a.
You are required to prepare:
(a) Revaluation Account,
(b) C’s Capital Account, and
(c) C’s Loan Account till it is finally closed.
[Ans. Gain on Revaluation ₹ 1,10,000; Balance of C’s Capital A/c transferred to his Loan A/c ₹ 2,39,000. Payment made : ₹ 1,23,900 on 31st March 2021; ₹ 1,13,900 on 31st March 2022 and ₹ 42,900 on 31st March 2023.]
Solution:-
Q. 46. Lalit, Madhur and Neena were partners sharing profits as 50%, 30% and 20% respectively. On 31st March, 2021, their Balance Sheet was as follows:
| Liabilities | ₹ | Assets | ₹ |
| Creditors | 28,000 | Cash | 34,000 |
| Provident Fund | 10,000 | Debtors 47,000 Less: Provision for Doubtful Debts 3,000 | 44,000 |
| Investment Fluctuation Fund | 10,000 | Stock | 15,000 |
| Capital A/cs: Lalit Madhur Neena | 50,000 40,000 25,000 | Investment | 40,000 |
| 1,63,000 | Goodwill | 20,000 | |
| Profit and Loss A/c | 10,000 | ||
| 1,63,000 | 1,63,000 |
On this date, Madhur retired and Lalit and Neena agreed to continue on the following terms:
(a) The goodwill of the firm was valued at ₹ 51,000.
(b) There was a claim for Workmen’s Compensation to the extent of ₹ 6,000.
(c) Investment were brought down to ₹ 15,000.
(d) Provision for bad debts was reduced by ₹ 1,000.
(e) Madhur was paid ₹ 10,300 in cash and the balance was transferred to his loan account payable in two equal instalments together with interest @ 12% p.a.
Prepare Revaluation Account, Partner’s Capital Accounts and Madhur’s Loan Account till the loan is finally paid off.
[Ans. Loss on Revaluation ₹ 20,000; Madhur’s Loan A/c ₹ 30,000; Capital A/cs: Lalit ₹ 14,071 and Neena ₹ 10,629.]
Solution:-
