# Show the solution of question 30 and what amount of x's and y's capital in new balance sheet  and how ...? Q 30.  Balance Sheet of X and Y, who shares profits and losses as 5 : 3, as at 1st April, 2017 is :

Dear Student

 Revalution A/c Date Particulars Amount (in Rs) Date Particulars Amount (in Rs) Stock 1,000 Machinery 7,000 Capital A/c (8,000 in 5:3) X 5,000 Y 3,000 8,000 8,000

 Partner's Capital A/c Particulars X's Capital A/c Y's Capital A/c Particulars X's Capital A/c Y's Capital A/c X's Capital A/c 3,000 Balance b/d 52,000 54,000 Goodwill 5,000 3,000 Y's Capital A/c 3,000 Advertisement Suspense 500 300 Revaluation 5,000 3,000 Workmen Compensation Fund 2,500 1,500 General Reserve 3,000 1,800 Bal C/d 60,000 54,000 65,500 60,300 65,500 60,300

 Calculation of Sacrificing and Gaining Partners X Y Old Ratio 5/8 3/8 Less : New Ratio 3/8 5/8 1/4 -  1/4 Sacrificing Gaining

 Calculation of Goodwill Average profits of last 3 years (7,500 + 4,000 + 6,500)/3 6,000 Goodwill at two years purchase (6,000 x 2) 12,000

 Goodwill Adjustment Sacrificing Ratio Only X is sacrificing Share of Goodwill of X (12,000 x 1/4) 3,000 Distribution in Sacrificing Ratio Y's Capital A/c 3,000

For finding capital we have followed the following procedures :
Firstly we had found the revaluation profits by making necessary adjustments given in the question , Then after finfing Revaluation profits we transfered them to X and Y's capital accounts ,
So our job for revaluation was completed . Now we had done the goodwill adjustment in sacrificing and gaining ratio between X and Y and passed the necessary journal entries as shown above .
After this we had transferred all the accumulated profits and losses of the old balancesheet in the Capital account of partners in Old ratio .

The resultant balance is the closing balance of Partners .

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