OMTEX CLASSES: Ram and Krishna were partners sharing profits and losses in the proportion of 2/3 and 1/3 respectively

Ram and Krishna were partners sharing profits and losses in the proportion of 2/3 and 1/3 respectively

Ram and Krishna were partners sharing profits and losses in the proportion of 2/3 and 1/3 respectively. Their balance sheet is as follows:

Solution: In the books of Ram, Krishna and Hari.

Revaluation Account.

Particulars
Amount
Amount
Particulars
Amount
Amount
To Stock A/c

6000
By Building A/c

12000



By R.D.D. A/c

1200
To Profit on Revaluation A/c transferred to Partners Capital A/c





Ram Capital A/c
4800




Krishna Capital A/c
2400
7200





13200


13200

Partners’ Capital A/c

Particulars
Ram
Krishna
Hari
Particulars
Ram
Krishna
Hari




By Balance b/d
96000
64000
-




By General Reserve A/c
12000
6000
-




By Profit & Loss A/c
4000
2000





By Revaluation A/c
4800
2400
-




By Cash A/c


48000




By Goodwill A/c
12000
6000
-
By Balance c/d
128800
80400
48000





128800
80400
48000

128800
80400
48000


Balance Sheet as on 1st April, 2013.

Liabilities
Amount
Amount
Assets
Amount
Amount
Capital A/c


Building
100000

Ram
128800

Add: Appreciation
12000
112000
Krishna
80400

Furniture

30000
Hari
48000
257200
Debtors
63000

Sundry Creditors

80000
Less: R.D.D.
1800
61200



Stock
84000




Less: Written off
6000
78000



Goodwill

18000



Cash

18000



Cash
16000




Add: Hari’s Capital
48000




Less: Ram’s Loan
26000
38000


337200


337200