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Pass entries in firm's Journal for the f...

Pass entries in firm's Journal for the following on admission of a partner: (i) Unrecorded Investments worth RS.20,000.
(ii) Unrecorded liability towards suppliers for RS.5,000.
(iii) An item of RS.1,600 included in Sundry Creditors is not likely to be claimed and hence should be written back.

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(i) Dr. Investment A/c and Cr.Revaluation A/c by 20,000.
(ii) Dr. Revaluation A/c and Cr. Sundry Creditors A/c by RS.5,000.
(iii) Dr. Sundry Creditors and Cr. Revaluation Cr. Revaluation A/c by RS.1,600.
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Pass entries in the firm's Journal for the following on admission of a partner: (i) Machinery be reduced by RS.16,000 and Building be apprecited by RS.40,000. (ii) A provision be created for Doubtful Debts @ 5% of Debtors amounting to RS.80,000. Provision for warranty claims be increased by RS.12,000.

Following in Balance Sheet of A and B who share profits in the ratio of 3:2. On that date C is admitted into the partnership on the following terms: 1. C is to bring in Rs. 15,000 as capital and Rs. 5,000 as premium for goodwill for (1)/(6) share. 2. The value of stock is reduced by 10% while plant and machinery is appreciated by 10%. 3. Furniture is revalued at Rs. 9,000. 4. A provision for doubtful debts is to be created on sundry debtors at 5% and Rs. 200 is to be provided for an electricity bill. 5. Investment worth Rs. 1,000 (not mentioned in the balance sheet) is to be taken into account. 6. A creditor of Rs. 100 is not likely to claim his money and is to be written off. Record journal entries and prepare revaluation account and capital account of partners.

Pass the Journal entries rectifying the following errors: (i) Purchases of Rs. 10,000 was omitted to be recorded. (ii) Purchases of office furniture of Rs. 10,000 was recorded in Purchases Book. (iii) Office Rent of Rs. 15,000 was debited to the Personal Account of the landlord. (iv) Old machine sold for Rs. 5,000 was credited to Sales Account. (v) Bill for Rs. 800 received from Mukesh for repair of machinery was entered in the Purchases Book as Rs. 700.

What Journal entries would be passed for discharge of following unrecorded liabilities on the dissolution of a firm of partners A and B . (a) There was a contingent liability in respect of bills discounted but not matured of ₹ 18,500 . An acceptor of one bill of ₹ 2, 500 became insolvent and fifty paise in a rupee was recovered . The liability of the firm on account of this bill discounted and dishonoured has not so far been recorded . (b) There was a contingent liabillity in respect of a claim for damages for ₹ 75,000 , such liability was settled for ₹ 50 , 000 and paid by the partner A . (c) Firm will have to pay ₹ 10 , 000 as compensation to an injured employee , which was a contingent liability not accepted by the firm . (d) ₹ 5,000 for damages claimed by a customer has been disputed by the firm . It was settled at 70% by a compromise between the customer and the firm .

Pass necessary journal entries for the following transactions in the books of Gopal Ltd. : (i) Purchased furniture for Rs. 2,50,000 from M/s Furniture Mart. The payment to M/s Furniture Mart was made by issuing equity shares of Rs. 10 each at a premium of 25%. (ii) Purchased a running business from Aman Ltd. for a sum of Rs. 15,00,000. The payment of Rs. 12,00,000 was made by issue of fully paid equity shares of Rs. 10 each and balance by a bank draft. The assets and liabilities consisted of the following : Plant Rs. 3,50,000, Stock Rs. 4,50,000, Land and Building Rs. 6,00,000, Sundry Creditors Rs. 1,00,000.

X and Y are partners in a firm sharing profit in the ratio of 3 : 2. Their Balance Sheet as at 31st March, 2019 was as follows: On 1st April, 2019, they admitted Z as a partner for 1/6ht share on the following terms: (i) Z brings in RS.40,000 as his share of Capital but he is unable to bring any amount for Goodwill. (ii) Claim on account of Workmen Compensation is RS.3,000. (iii) To write off Bad Debts amounted to RS.6,000. (iv) Creditors are to be paid RS.2,000, more. (v) There being a claim aganist the firm for damages, liabilities to the extent of RS.2,000 should be created. (vi) Outstanding rent be brought down to RS.11,200. (vii) Goodwill is valued at 1_(1//2) years' purchase of the average profit of last 3 years, less RS.12,000. Profits for the last 3 years amounted to RS.10,000, RS.20,000 and RS.30.000. Pass Journal entries, prepare Partners' Capital Accounts and opeinig Balance Sheet.

TS GREWAL-Admission of a Partner-EXERCISE
  1. Mr. A commenced business with a capital of RS.2,50,000 on 1st April, 2...

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  2. Pass entries in the firm's Journal for the following on admission of a...

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  3. Pass entries in firm's Journal for the following on admission of a par...

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  4. X and Y are partners in a firm sharing profits in the ratio of 3 : 2....

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  5. X and Y are partners in a firm sharing profits in the ratio of 3 : 2. ...

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  6. X and Y are partners sharing profits in the ratio of 3 : 2. They admit...

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  7. X and Y are partners in a shring profits in the ratio of 3 : 2. They ...

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  8. X, Y and Z are partners sharing profit and losses in the ratio of 6 :...

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  9. At the time of admission of a partner C assets and liabilities of A an...

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  10. X and Y are partners in a firm sharing profit and losses in the ratio ...

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  11. X and Y were partners in a firm sharing profits and losses in the rati...

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  12. (a) X, Y and Z are partners sharing profits and losses in the ratio of...

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  13. X, Y and Z are equal partners with capitals of RS.1,500, RS.1,750 and ...

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  14. A and B are carruying on business in partnership and sharing profits a...

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  15. Following was the Balance Sheet of A and B who were sharing profits in...

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  16. Given below is the Balance Sheet of A and B, who are carrying partners...

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  17. Balance Sheet of J and K who share profits in the ratio of 3 : 2 is as...

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  18. Balance Sheet of Madhu and Vidhi who are sharing in profits in the rat...

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  19. Shyamlal and Sanjay were in partnership business sharing profits and l...

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  20. A, B and C are partners sharing profits and losses in the ratio of 3 :...

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