[ISC] Q. 28 Solution of Admission of Partner TS Grewal Accounts Class 12 (2023-24)

Solution to Question number 28 of the Admission of partner chapter 3 of TS Grewal Book 2023-24 Edition ISC/CISCE Board.

Rao and Reddy are in partnership sharing profits and losses in the ratio of 5 : 3. Kutty is admitted as a partner paying ₹ 40,000 as capital and the necessary amount of goodwill which is valued at ₹ 60,000 for the firm. Half of the amount of goodwill is withdrawn by Rao and Reddy. Kutty’s share of profits is 1/5th of which he takes 1/10th from Rao and 1/10th from Reddy. Pass the necessary Journal entries to adjust goodwill.

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