In the preparation of a reconstituted balance sheet in some questions we used the adjustments but in some questions balance sheet is same as well as the begning. why?
Shobhana,
It depends on the adjustment of 'Accumulated Profits & Losses' and 'Revaluation of Assets and Re-assessment of Liabilities. If a question states that the partners decide to show accumulated profits and losses in the books of the new firm and that the assets and liabilities will be shown at their old figures, then the Reconstituted Balance Sheet is more or less same as the Old Balance Sheet given in the question.
It depends on the adjustment of 'Accumulated Profits & Losses' and 'Revaluation of Assets and Re-assessment of Liabilities. If a question states that the partners decide to show accumulated profits and losses in the books of the new firm and that the assets and liabilities will be shown at their old figures, then the Reconstituted Balance Sheet is more or less same as the Old Balance Sheet given in the question.