A and B are partners in a firm sharing profits and losses in the ratio of 3:
2. They admit C Into partnership of 1/5th share in profit on 31st December, 1996. On that date their Balance Sheet stood as under:
Liabilities: Rs. Assets Rs.
Capital Accounts:
A
B
General Reserves
Sundry Creditors
60,000
50,000
10,000
50,000

_________
1,70,000 Good will
Plant & Machinery
Furniture
Investments
Stock
Sundry Debtors
Cash in hand 5,000
65,000
15,000
20,000
20,000
30,000
15,000
1,70,000
C was admitted on the following terms:
(i) C is to bring capital Rs. 40,000 and goodwill Rs. 15,000.
(ii) Partners agreed to share the future profit in the ratio of 5 : 3 : 2.
(iii) Investments will be appreciated by 20% and furniture depreciated by 10%.
(iv) One customer who owed the firm Rs. 8,000 become insolvent and nothing could be realized from him.
(v) Creditors will be written back by Rs. 2,000.
(vi) Outstanding bills for repairs Rs. 4,000 will be provided for.
(vii) Interest accrued on investments Rs.12,000.
(viii) that after making agjustments the capital accounts of old partners btheadjusted on the basis of the proportion of C?s capital to his share in
Busibusinby opening current accounts .
Revaluation Account, Capital Accounts and Balance Sheet of the new firm

A and B are partners in a firm sharing profits and losses in the ratio of 3: 2. They admit C Into partnership of 1/5th share in profit on 31st December, 1996. On that date their Balance Sheet stood as under: Liabilities: Rs. Assets Rs. Capital Accounts: A B General Reserves Sundry Creditors 60,000 50,000 10,000 50,000 _________ 1,70,000 Good will Plant & Machinery Furniture Investments Stock Sundry Debtors Cash in hand 5,000 65,000 15,000 20,000 20,000 30,000 15,000 1,70,000 C was admitted on the following terms: (i) C is to bring capital Rs. 40,000 and goodwill Rs. 15,000. (ii) Partners agreed to share the future profit in the ratio of 5 : 3 : 2. (iii) Investments will be appreciated by 20% and furniture depreciated by 10%. (iv) One customer who owed the firm Rs. 8,000 become insolvent and nothing could be realized from him. (v) Creditors will be written back by Rs. 2,000. (vi) Outstanding bills for repairs Rs. 4,000 will be provided for. (vii) Interest accrued on investments Rs.12,000. (viii) that after making agjustments the capital accounts of old partners btheadjusted on the basis of the proportion of C?s capital to his share in Busibusinby opening current accounts . Revaluation Account, Capital Accounts and Balance Sheet of the new firm A and B are partner's sharing profits and losses in the ratio of 3:2. On 31st March, 2018, their Balance Sheet was as follows Liabilities Capital Accounts:- General Reserves Creditors 60,000 50,000 10,000 50,000 Assets Goodwill Plant and Machinery Furniture Investments Stock Debtors Cash at Bank 5,000 65,000 15,000 20,000 20,000 30,000 15,000