Sandeep, Praveen and Tara are partners sharing profits in the ratio of 3:2:1. On 1st April, 2012  Sandeep gave a notice to retire from the firm. Praveen and Tara after all adjustments showed a balance of Rs.64,000 and Rs.1,00,000 respectively. The total amount to be paid to Sandeep was Rs.1,23,000. This amount was to be paid by Praveen and Tara in such a way Pass necessary Journal entires for the above transations in the books of the firm. Show your working clearly.

The Balance Sheet of Keshav, Nirmal and pankaj who are partners in a firm sharing profits according to their capital as at 31st March, 2012 was as follows:

                Balance Sheet of Keshav, Nirmal and Pankaj

                          as at 31st March,2012 

On that date Nirmal decided to retire from the firm and was paid for his share in the firm subject to the following:

(i) Buildings to be appreciated by 20%.

(ii) Provision for Bad Debts to be increased to 15% on Debtors.

(iii) Machinery to be depreciated by 20 %.

(iv) Goodwill of the firm is valued at Rs.1,44,000 and the retiring partner's share is adjusted through the capital accounts of  remaining partners.

(v) The capital of the new firm be fixed at 2,40,000.

Prepare Revaluation Account, Capital Accounts of the partners, Bank Account and the Balance Sheet after Nirmal's retirement.

Amit, Balan and Chander were partners in a firm sharing profits in the proportion of \(\frac { 1 }{ 2 } ,\frac { 1 }{ 3 } and\frac { 1 }{ 6 } \) respectively. Chander retired on 1.04.2014. The Balance Sheet of the firm on the date of Chander's retirement was as follows:

                         Balance Sheet of Amit, Balan and Chander

                                   as on 1-4-2014

It was agreed that:

(a) Goodwill will be valued at Rs.27,000.

(b) Depreciation of 10% was to be provided on machinery.

(c) Patents were to be reduced by 20%.

(d) Liability on account of Provident Fund was estimated at Rs.2,400.

(e) Chander took over investments for Rs.15,800.

(f) Amit and Balan decided to adjust their capitals in proportion of their profit sharing ratio by opening current accounts.

Prepare Revaluation Account and Partners' Capital Accounts on Chander's retirement.

On 1.1.2008, Uday and Kaushal entered into partnership with fixed capitals of RS.7,00,000 and RS.3,00,000 respectively. They were doing good business and were interested in its expansion but could not do the same because of lack of capital. Therefore, to have more capital, they admitted Govind as a new partner on 1.1.2010. Govind brought RS.10,00,000 as capital and the new profit sharing ratio decided was 3:2:5. On 1.1.2012, another new partner Hari was admitted with a capital with of RS.8,00,000 for 1/10th share in the profits, which he acquired equally from Uday, Kaushal and Givind. On 1.4.2014 Govind died and his share was taken over by Uday and Hari equally, Calculate:

(i) The sacrificing ratio of Uday and Kaushal on Govind's admission.

(ii) New profit sharing ratio of Uday, Kaushal and Hari on Govind's death.

Ramesh, Naresh and Sudesh were partners in a firm sharing profits in the ratio of 2:2:1. On 31st December, 2008 their Balance Sheet was as follows:

(i) Goodwill of the firm was to be valued at 2 year's purchase of the average profits of last 5 years.The profits for the years ended 31st December, 2007; 31st December 2006; 31st December, 2005 and 31st December, 2004 were RS.50,000, RS.80,000, RS.1,10,000 and RS.2,20,000 respectively.Naresh died 31st March, 2009. The Partnership Deed provided for the following on the death of a partner:

(ii) Naresh's share of profits or loss till the date of his death was to be calculated on the basis of the profit or loss for the ended 31st December, 2008.

You are required to calculate the following:

(i) Goodwill of the firm and Naresh's share of goodwill at the time of his death.

(ii) Naresh's share in the profit or loss of the firm till the date of his death.

(iii) Prepare Naresh's capital Account at the time of his death to be presaented to his executors.

Pawan,Prem and Poonam were partners in a firm sharing profits in the ratio of 2:1:2. Their fixed capitals were RS.2,00,000, RS.1,50,000 and 2,00,000 respectively. The firm closses its books on 31st March every year. On 31.03.2006 Prem died. The executor of a deceased partner according to the agreement was entitled for the following:

(i) Interest on capital from the first day of the accounting year till the date of his death @ 10% p.a.

(ii) His share of goodwill - The goodwill of the firm for the on Prem's death was valued at RS.3,00,000.

(iii) His share of profits - the profit of the firm for the year ended 31.03.2006 was RS.1,50,000 Prem's executor was paid the sum due in two equal annual instalment with interest @ 10% p.a. prepare Prem's capital account as on 31.03.2006 to be presented to his executor and his executor's loan account for the year ending 31.03.2007 and 31.03.2008.

A, B and C were partners in a firm sharing profits in the ratio of 2:1:1 Their Balance Sheet as on 31.3.2010 was as follows:

On 30.6.2010, C died. Under the provisions of partnership deed the executors of a deceased partner were entitled to the following :

(i) Amount standing to the credit of partners capital account.

(ii) Interest on capital @ 5% p.a.

(iii) Share of goodwill on the basis of two years purchase of the average profits of last three years.

(iv) Share of profit in the year of his death, till the date of his death on the basis of the last year's profit.

The profits of the firm during the previous three years were as follows:

Pass necessary Journal Entries, at the time of C's death, prepare C's Capital Account and C's Executor's Account upto 31.12.2010.C's executors were paid RS.800 on 1.7.2010 and the balance in three equal instalments of equal intervals of 6 months starting from 31.12.2010 with interest @ 10% per annum.

X,Y and Z were partners in a firm sharing profits and losses in the ratio of 5:3:2. On 31.03.2010 their Balance Sheet was as follows:

Z died on 31.7.2010. It was agreed that:

(a) Goodwill be valued at 2 half year's purchase of the average profits of the four year's which were as follows:

(b) Machinery be valued at RS.70,000; Patents at RS.20,000 and Building at RS.62,500.

(c) For the purpose of calculating Z's share of profits in the year of his death, the profits in 2010-2011 should be taken to have been accured on the same scale as in 2009-2010.

(d) A sum of RS.17,500 was paid immediately to the executors of Z and the balance was paid in four half yearly installments together with interest at 12% p.a. starting from 31.1.2011.

Give necessary journal entries to record the above transaction's and Z's executor's account till the payment of installment due on 31.01.2011.

Albert, Boris and Cyril are partners sharing profits and losses in the ratio of 3:2:1 and their balance sheet as on 31st March 2002 stood as under:

Albert died on 1st July, 2002 and the folowing decisions were taken by the surviving partners. According to the Partnership Deed, his executors were entitled to :

(a) The deceased partner's capital as appearing in the last balance sheet and interest thereon at 6% per annum upto the date of death.

(b) His share of profit for the period he was alive should be based on the figure of 31st March 2002.

(c) Goodwill according to his share of profit to be calculated by taking twice the amount of the average profit of the last three years. The profits of the previous year were :

           31st March 2002 - RS.11,000;

           31st March 2001 - RS.15,000 and 

           31st March 2000 - RS.10,000

(d) Assets were to be revalued :

           Building - RS.80,000;

           Stock    - RS.30,000 and 

           Provision for bad debts @ 10%

Assuming that all the above changes are to be incorporated in the new firm and are not to be written off, prepare the Revaluation Account, Partner's Capital Account and a Balance Sheet as on 1st July 2002.

(All calculations are to be made to the nearest rupee)

X,Y and Z were partners sharing Profits and Losses in the ratio of 1:2:2 as on 31.3.2008. Mr. Z died on 31st December, 2008. The firm closses its accounts on 31st March every year.

Goodwill is to be calculated at the rate of two year's purchase on the basis of average of last three year's profits and losses.

The profits and losses for the three years were as detailed below :

Profit for the period 1.4.2008 onwards shall be ascertained proportionately on the basis of average profits and losses of the preceding three years.

During the year ending on 31.3.2008, a car costing RS.40,000 was purchased on 1.4.2007 and wrongly debited to travelling expenses account on which depreciation os to be calculated at 20% p.a. The asset is to be broght into account at depreciated value.

Pass necessary journal entries for the treatment of goodwill and Z's share of profit at the time of his death assuming X and Y share further Profits and Losses in the ratio of 3:2.