[ISC] Q. 40 Solution of Admission of Partner TS Grewal Accounts Class 12 (2023-24)

Solution to Question number 40 of the Admission of partner chapter 3 of TS Grewal Book 2023-24 Edition ISC/CISCE Board.

Yogesh, Mahesh and Ashish are partners sharing profits and losses in the ratio of 1 : 2 : 3. Nirdosh is admitted as a partner who brings ₹ 50,000 as his capital for 1/5th share in the profit. Goodwill of the firm is to be valued at an average of the last three financial years profits which were ₹ 62,500; ₹ 70,000 and ₹ 92,500 respectively. Nirdosh is unable to bring his share of premium for goodwill.

Give Jounral entries if goodwill already appears in the books at ₹ 60,000.

Solution:-