Goodwill does not appear as an asset in the balance sheet means it is not yet recorded in the books and remains as
liability
cash
silent asset
reserve
In what ratio the goodwill is to be shared to the old partners ?
New ratio
Old ratio
Sacrificing ratio
Gaining ratio
Beena and Deepa are two partners sharing profit in the ratio of 4:3. They admit Ceena for 1/3rd share of profit. Goodwill a/c stood in their book @ Rs. 60000 and it was on the date of the admission valued at Rs. 30000. What is the Journal entry for goodwill adjustment ?
Goodwill a/c Dr 60000
To Beena's capital a/c 20000
To Deepa's capital a/c 20000
To Ceena's capital a/c 20000
Goodwill a/c Dr 30000
To Beena's capital a/c 17143
To Deepa's capital a/c 12857
Beena's capital a/c Dr 17143
Deepa's capital a/c Dr 12857
To Goodwill a/c 30000
Beena's capital a/c Dr 34286
Deepa's capital a/c Dr 25714
To Goodwill a/c 60000
From the following which is not needed at the time of admission of a new partner ?
Revaluvation of assets and liabilities
Distribution of undistributed profits and accumulated reserves to the old partner.
Calculation of gaining ratio
Treatment of goodwill
X and Y were partners for 6:4. They admitted Z and their ratio is 3:2:1. They are revaluvating the firm. Find revaluvation profit or loss according to the following adjustments.
Loss Rs. 500/-
Loss Rs. 1500/-
Profit Rs. 500/-
Profit Rs. 1500/-
What is the name of consideration paid by new partner to the old partner for the right to participate in the division of future profits ?
Good will
Capital
Capital reserve
None of these
At the time of admission Accumulated Reserves and Undistributed profits and loss are transfered to the capital accounts of
Old partners in their sacrificing ratio
Old partners in their new ratio
All partners in their new ratio
Old partners in their old profit sharing ratio
Calculate revaluvation profit or loss from the following details.
Profit 3000/-
Loss 2000/-
Profit 50000/-
Profit 68000/-
At the time of admission decrease in value of liability is debited to
Revaluvation a/c
Liability a/c
Old partners capital a/c
P and L adjustment a/c
At the time of admission of a new partner,Creation of new liability is
Written off
Debited to Revaluvation a/c
Transfered to old partner capital a/c
Adjusted with undistributed profits or accumulated reserves
