A, B and C were partners in a firm sharing profits in the ratio of 3 : 2 : 1. On 31st March, 2015, their Balance Sheet was as follows:

On the above date, D was admitted as a new partner and it was decided that :
(i) The new profit-sharing ratio between A, B, C and D will be 2 : 2 : 1 :1.
(ii) Goodwill of the firm was valued at RS.90,000 and D brought his share of goodwill premium in cash.
(iii) The market value of investments was RS.24,000.
(iv) Machinery will be reduced to RS.20,000.
(v) A credior of RS.3,000 was not likely RS.29,000.
(vi) D will bring proportionate capital so as to give him 1/6th share in the profits of the firm.
Prepare Revaluation Account, Partner's Capital Accounts and the Balance Sheet of the reconstituted firm.

Explanation

Working Notes:
`{:("Calculation of Sacrifice//(Gain) of each partner"" "A" "B" "C" "D),(I."Old Share"" "3//6" "2//6" "1//6" "...),(II."New Share "ul(2//6" "2//6" "1//6" "1//6)),(III."Sacrifice//(Gain)(I-II)"" "ul ul(1//6"(Sacrifice)"" ... " ""..." "-1//6"(Gain)")):}`
2. Goodwill Premium to be brought in by D=1/6 of RS.90,000 =RS.15,000.
3. Calculation of Proportionate Capital of D: Adjusted combined capital of old partners =RS.81,000+RS.44,000+RS.22,000=RS.1,47,000
Total capital of new firm `=("Adjusted combined capital of the old partners")/("Combined share of profit of the old partners")`
`=RS.1,47,000xx(6)/(5)=RS.1,76,400`
D's Capital `=(1)/(6)xxRS.1,76,400=RS.29,400`