Solve this
Q17. Following is the balance sheet of Abha Binay as at 31st march 2014:
| Liabilities | (Rs.) | Assets | (Rs.) |
| Creditors Employees provident fund Workmen's compensation fund Capitals : Abha Binay |
13,000 8,000 15,000 85,000 |
Bank Debtors 22,000 Less: provision for doubtful debts 1,000 Stock Plant and machinery Goodwill Profit and loss |
15,000 21,000 10,000 60,000 10,000 5,000 |
| 1,21,000 | 1,21,000 |
Chitra was admitted as a partner for 1/4th share in the profit of the firm. It was decided that:
a) Bad debts amounted to Rs.1,500 will be written off.
b) Stock worth Rs. 8,000 was taken over by abha and binay at book value in their profit ratio. The remaining stock was at Rs. 2,500.
c) Plant and machinery and goodwill were valued at Rs. 32,000 and Rs. 20,000 respectively.
d) Chitra bought her share of goodwill in cash.
e) Chitra will bring proportionate capital and the capital of abha and binay will be adjusted in their profit sharing ratio by bringing in or paying off cash as the case may be.
Prepare Revaluation account and Partner's capital accounts.
