Question 46:
X and Y
are partners in a firm sharing profits in the ratio of 3 :
2. They admitted Z as a partner and fixed the new profit-sharing ratio
as 3 : 2 : 1. At the time of admission of Z,
Debtors and Provision for Doubtful Debts appeared at `50,000 and `5,000 respectively all debtors are good. Pass
the necessary Journal entries.
Answer:
|
Journal |
|||||
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Date |
Particulars |
L.F. |
Debit ` |
Credit ` |
|
|
|
|
|
|
|
|
|
(i) |
Provision for Doubtful Debts A/c |
Dr. |
|
5,000 |
|
|
|
To Revaluation A/c |
|
|
|
5,000 |
|
|
(Provision on Debtors reduced) |
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(ii) |
Revaluation A/c |
Dr. |
|
5,000 |
|
|
|
To X’s Capital A/c |
|
|
|
3,000 |
|
|
To Y’s Capital A/c |
|
|
|
2,000 |
|
|
(Profit on Revaluation transferred to Partners’ Capital A/c) |
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Question 47:
X and Y
are partners in a firm sharing profits in the ratio of 3 :
2. They admitted Z as a partner for 1/4th share. At the time of
admission of Z, Stock (Book Value `1,00,000) is to be reduced by
40% and Furniture (Book Value `60,000) is to be
reduced to 40%. Pass the necessary Journal entries.
Answer:
|
Journal |
|||||
|
Date |
Particulars |
L.F. |
Debit ` |
Credit ` |
|
|
|
|
|
|
|
|
|
|
Revaluation A/c |
Dr. |
|
76,000 |
|
|
|
To Stock A/c |
|
|
|
40,000 |
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|
To Furniture A/c |
|
|
|
36,000 |
|
|
(Value of assets decreased) |
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X’s Capital A/c |
Dr. |
|
45,600 |
|
|
|
Y’s Capital A/c |
Dr. |
|
30,400 |
|
|
|
To Revaluation A/c |
|
|
|
76,000 |
|
|
(Loss on Revaluation transferred to Partners’ Capital A/c) |
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Question 47;
X and Y are
partners sharing profits in the ratio of 3 : 2. They
admitted Z as a partner for 1/4th share of profits. At the
time of admission of Z, Investments
appeared at `80,000. Half of the investments to be taken by X and Y in
their profit-sharing ratio at book value. Remaining investments were valued
at ` 50,000. Pass
the necessary Journal entries.Answer:
Journal
Date
Particulars
L.F.
Debit
`
Credit
`
X’s Capital A/c
Dr.
24,000
Y’s Capital A/c
Dr.
16,000
To Investments A/c
40,000
(Half of the investments taken over by X and Y)
Investment A/c
Dr.
10,000
To Revaluation A/c
10,000
(Value of investments increased)
Revaluation A/c
Dr.
10,000
To X’s Capital A/c
6,000
To Y’s Capital A/c
4,000
(Profit on revaluation transferred to Partners’ Capital A/c)
Question 49:
Ashok and Bhaskar are partners in a firm sharing
profits in the ratio of 3 : 2. They admitted Chaman as a partner for 1/4th share
of profits. At the time of admission of Chaman,
Debtors and Provision for Doubtful Debts appeared at ` 76,000 and ` 8,000
respectively. ` 6,000 of the
debtors proved bad. A provision of 5% is to be created on Sundry Debtors for
doubtful debts. Pass the necessary Journal entries.
Answer:
Journal
Date
Particulars
L.F.
Debit
`
Credit
`
Bad Debts A/c
Dr.
6,000
To Debtors A/c
6,000
(Bad debts incurred)
Provision for Doubtful Debts A/c
Dr
6,000
To Bad Debts
A/c
6,000
(Bad debts adjusted)
Revaluation A/c (WN 1)
Dr.
1,500
To Provision for Doubtful Debts A/c
1,500
(Provision created)
Ashok’s Capital A/c
Dr.
900
Bhaskar’s Capital A/c
Dr.
600
To Revaluation A/c
1,500
(Loss on revaluation transferred to Partners’ Capital A/c)
Working Notes:
WN1: Calculation of Provision for Doubtful Debts
Provision to be created = (76,000 - 6,000)×5/100= ` 3,500
Old Provision = ` 2,000
New Provision to be created = 3,500 - 2,000 = 1,500
Question 50:
At the time of
admission of a partner Suresh, assets and liabilities of Ramesh
and Naresh were revalued as follows:
(a) A Provision for Doubtful Debts @10% was made on Sundry Debtors (Sundry
Debtors ` 50,000).
(b) Creditors were written back by
`5,000.
(c) Building was appreciated by 20% (Book Value of Building
`2,00,000).
(d) Unrecorded Investments were valued at `15,000.
(e) A Provision of `2,000
was made for an Outstanding Bill for repairs.
(f) Unrecorded Liability towards suppliers was `3,000.
Pass necessary Journal entries.
Answer:
Journal
Date
Particulars
L.F.
Debit
`
Credit
`
Creditors A/c
Dr.
5,000
Building A/c
Dr.
40,000
Investments A/c
Dr.
15,000
To Revaluation A/c
60,000
(Increase in
assets and decrease in liabilities
transferred to Revaluation Account)
Revaluation A/c
Dr.
10,000
To Provision for Doubtful Debts A/c
5,000
To Reserve for outstanding Repairs
Bill A/c
2,000
To Creditors A/c
3,000
(Increase in
liabilities, decrease in assets and creation of reserves and provisions transferred
to Revaluation Account)
Revaluation A/c
Dr.
50,000
To Old Partners’ Capital A/c
50,000
(Profit on
Revaluation transferred to Partners’ Capital)
X and Y are partners sharing profits in the ratio of 3 : 2. They admitted Z as a partner for 1/4th share of profits. At the time of admission of Z, Investments appeared at `80,000. Half of the investments to be taken by X and Y in their profit-sharing ratio at book value. Remaining investments were valued at ` 50,000. Pass the necessary Journal entries.
|
Journal |
|||||
|
Date |
Particulars |
L.F. |
Debit ` |
Credit ` |
|
|
|
|
|
|
|
|
|
|
X’s Capital A/c |
Dr. |
|
24,000 |
|
|
|
Y’s Capital A/c |
Dr. |
|
16,000 |
|
|
|
To Investments A/c |
|
|
|
40,000 |
|
|
(Half of the investments taken over by X and Y) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment A/c |
Dr. |
|
10,000 |
|
|
|
To Revaluation A/c |
|
|
|
10,000 |
|
|
(Value of investments increased) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Revaluation A/c |
Dr. |
|
10,000 |
|
|
|
To X’s Capital A/c |
|
|
|
6,000 |
|
|
To Y’s Capital A/c |
|
|
|
4,000 |
|
|
(Profit on revaluation transferred to Partners’ Capital A/c) |
|
|
|
|
|
|
|
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|
|
|
Ashok and Bhaskar are partners in a firm sharing
profits in the ratio of 3 : 2. They admitted Chaman as a partner for 1/4th share
of profits. At the time of admission of Chaman,
Debtors and Provision for Doubtful Debts appeared at ` 76,000 and ` 8,000
respectively. ` 6,000 of the
debtors proved bad. A provision of 5% is to be created on Sundry Debtors for
doubtful debts. Pass the necessary Journal entries.
|
Journal |
|||||
|
Date |
Particulars |
L.F. |
Debit ` |
Credit ` |
|
|
|
|
|
|
|
|
|
|
Bad Debts A/c |
Dr. |
|
6,000 |
|
|
|
To Debtors A/c |
|
|
|
6,000 |
|
|
(Bad debts incurred) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for Doubtful Debts A/c |
Dr |
|
6,000 |
|
|
|
To Bad Debts
A/c |
|
|
|
6,000 |
|
|
(Bad debts adjusted) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Revaluation A/c (WN 1) |
Dr. |
|
1,500 |
|
|
|
To Provision for Doubtful Debts A/c |
|
|
|
1,500 |
|
|
(Provision created) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Ashok’s Capital A/c |
Dr. |
|
900 |
|
|
|
Bhaskar’s Capital A/c |
Dr. |
|
600 |
|
|
|
To Revaluation A/c |
|
|
|
1,500 |
|
|
(Loss on revaluation transferred to Partners’ Capital A/c) |
|
|
|
|
|
|
|
|
|
|
|
Working Notes:
WN1: Calculation of Provision for Doubtful Debts
Provision to be created = (76,000 - 6,000)×5/100= ` 3,500
Old Provision = ` 2,000
New Provision to be created = 3,500 - 2,000 = 1,500
At the time of
admission of a partner Suresh, assets and liabilities of Ramesh
and Naresh were revalued as follows:
(a) A Provision for Doubtful Debts @10% was made on Sundry Debtors (Sundry
Debtors ` 50,000).
(b) Creditors were written back by
`5,000.
(c) Building was appreciated by 20% (Book Value of Building
`2,00,000).
(d) Unrecorded Investments were valued at `15,000.
(e) A Provision of `2,000
was made for an Outstanding Bill for repairs.
(f) Unrecorded Liability towards suppliers was `3,000.
Pass necessary Journal entries.
|
Journal |
|||||
|
Date |
Particulars |
L.F. |
Debit ` |
Credit ` |
|
|
|
|
|
|
|
|
|
|
Creditors A/c |
Dr. |
|
5,000 |
|
|
|
Building A/c |
Dr. |
|
40,000 |
|
|
|
Investments A/c |
Dr. |
|
15,000 |
|
|
|
To Revaluation A/c |
|
|
60,000 |
|
|
|
(Increase in
assets and decrease in liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
Revaluation A/c |
Dr. |
|
10,000 |
|
|
|
To Provision for Doubtful Debts A/c |
|
|
5,000 |
|
|
|
To Reserve for outstanding Repairs Bill A/c |
|
|
2,000 |
|
|
|
To Creditors A/c |
|
|
3,000 |
|
|
|
(Increase in liabilities, decrease in assets and creation of reserves and provisions transferred to Revaluation Account) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Revaluation A/c |
Dr. |
|
50,000 |
|
|
|
To Old Partners’ Capital A/c |
|
|
50,000 |
|
|
|
(Profit on Revaluation transferred to Partners’ Capital) |
|
|
|
|
|
|
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Ts Grewal Solution 2022-2023
Click below for more Questions
Class 12 / Volume – I
Chapter 1 – Admission of a Partner
Question No. 1 To 5
Question No. 5 To 10
Question No. 11 To 15
Question No. 16 To 20
Question No. 21 To 25
Question No. 26 To 30
Question No. 31 To 35
Question No. 36 To 40
Question No. 41 To 45
Question No. 46 To 50
Question No. 51 To 55
Question No. 56 To 60
Question No. 61 To 65
Question No. 66 To 70
Question No. 71 To 75
Question No. 76 To 80
Question No. 81 To 83
Question No. 84 To 86
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12th TS Grewal’s Accountancy Solutions