Q. 58 DK Goel Retirement of Partner Solutions Class 12 CBSE (2024-25)
Here are the solutions of Question number 58 of Retirement of Partner chapter 5 of DK Goel Class 12 CBSE (2024-25)
A, B and C were equal partners. Their Balance Sheet as at 31st March, 2022 was as under:
Balance Sheet as at 31st March
| Liabilities | ₹ | Assets | ₹ |
| B/P | 20,000 | Bank | 20,000 |
| Creditors | 40,000 | Stock | 20,000 |
| General Reserve | 30,000 | Furniture | 28,000 |
| P/L | 6,000 | Debtors 45,000 Less: RBDD 5,000 | 40,000 |
| Capitals: A B C | 60,000 40,000 32,000 | Land & Building | 1,20,000 |
| 2,28,000 | 2,28,000 |
B retired on 1st April, 2022. A and C decided to continue the business sharing profits in the ratio of 3 : 2. Following terms were agreed:
(a) Goodwill of the firm was valued at ₹ 57,600.
(b) Reserve for bad and doubtful debts to be maintained at 10% on debtors.
(c) Land and building to be increased to ₹ 1,32,000.
(d) Furniture to be reduced by ₹ 8,000.
(e) Rent outstanding (not provided for as yet) was ₹ 1,500.
Remaining partners decided to bring sufficient cash in the business to pay off B and to maintain a bank balance of ₹ 24,800. They also decided to readjust their capitals as per their new profit sharing ratio.
Prepare necessary Ledger Accounts and Balance Sheet.
[Ans. Gain on Revaluation: ₹ 3,000; Cash paid to B ₹ 72,200; Final Capitals A ₹ 1,05,480 and C ₹ 70,320; A brings in ₹ 47,840 and C brings in ₹ 29,160; B/S Total ₹ 2,37,300.]
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