Plz help A/C

Foundation / CPT 861 views 2 replies

bhavna

gautamc123@gmail.com

70 Points Posted on 18 June 2011

X and Y are partners sharing profits and losses in ratio of 3:2, having the following capital balances-X 50000/- and Y 40000/- .Balance in general reserve amounted to 30000/- .Debit balance in Profit and loss account was 15000/- .They admit Z as 1/5^th partner who contributes to the firm 32000/- .If Z is to purchase 1/5^th share from the existing partners X and Y in the ratio of 1:1, find the closing capital of Z. - Ans 21000.-How??

Replies (2)

Mohit Bhownani

Student

294 Points Posted on 18 June 2011

Capital balance X = Rs 50000

Capital balance Y = Rs 40000

General reserve = Rs 30000

total = 120000

(-) Dr balance in P/l a/c Rs (15000)

Total capital Rs 105000

If the total capital is 105000, and if the new partner Z ratio is 1/5, then the rest 4/5 is distributed by the old partners (X and Y)

If the total capital is Rs 105000, then 1/5 capital will be Rs 21000.(Rs 105000/5 = Rs 21000)

i.e., closing capital of Z (new partner)

CA ADITYA SHARMA

CA IN PRACTICE

16719 Points Posted on 18 June 2011

Originally posted by : Mohit Bhownani
	Capital balance X = Rs 50000 Capital balance Y = Rs 40000 General reserve = Rs 30000 total = 120000 (-) Dr balance in P/l a/c Rs (15000) Total capital Rs 105000 If the total capital is 105000, and if the new partner Z ratio is 1/5, then the rest 4/5 is distributed by the old partners (X and Y) If the total capital is Rs 105000, then 1/5 capital will be Rs 21000.(Rs 105000/5 = Rs 21000) i.e., closing capital of Z (new partner)