Partnership

Admission

Easy

common

Goodwill already exist in the books is written off by:

Debiting old partners' capital accounts in their old profit sharing ratio

Crediting old partners' capital accounts in their old profit sharing ratio

Debiting old partners' capital accounts in their sacrificing ratio

Debiting old partners' capital accounts in their gaining ratio

✅ Correct Option: 1

As per AS 26, purchased goodwill appearing in the books must be written off on reconstitution. Since it was created while the old partners shared profits in the old ratio, the entry is Old Partners' Capital A/c Dr. (old ratio), To Goodwill A/c.

2025: 3 June Shift 1

Naveen and Ghanshyam are partners in a firm sharing profits in the ratio of 3:2. They admitted Daniel as a new partner for 1/4 share. The new profit sharing ratio between Naveen and Ghanshyam will be 2:1. Calculate the New profit sharing ratio of Naveen, Ghanshyam and Daniel :

2026: 12 May Shift 1

Arrange the following steps for calculation of goodwill using the Super Profit Method:

(A) Calculate goodwill by multiplying the super profits by the given number of years' purchase.

(B) Calculate the super profits by deducting normal profit from the average profits.

(D) Calculate the average profit.

Choose the correct answer from the options given below:

2025: 30 May Shift 1

The profits for the five years of a firm are as follows – year 2013 Rs. 4,00,000;year 2014 Rs. 3,98,000; year 2015 Rs. 4,50,000; year 2016 Rs. 4,45,000 and year 2017 Rs. 5,00,000. Calculate the goodwill of the firm on the basis of a 4-year purchase of 5 years average profits:

2025: 26 May Shift 2

The profits of firm for the five years are as follows:

Year	Profit (Rs.)
2012–13	20,000
2013–14	24,000
2014–15	20,000
2015–16	20,000
2016–17	16,000

Calculate the value of goodwill on the basis of three years' purchase of average profits.

2025: 3 June Shift 1

Match List-I with List-II

List–I	List–II
(A) Existing Goodwill	(I) no entry passed.
(B) Goodwill premium	(II) Calculated on the basis of capital of partners.
(C) Goodwill paid privately	(III) Written off.
(D) Hidden goodwill	(IV) credited to sacrificing partner.

Choose the correct answer from the options given below:

2025: 16 May Shift 1

Match List-I with List-II

List-I	List-II
(A) Accumulated Profits/Losses	(I) New Ratio
(B) Share of goodwill at the time of admission of a partner	(II) Gaining Ratio
(C) Division of profits after admission of a partner	(III) Old Ratio
(D) Share of goodwill at the time of retirement/death of a partner	(IV) Sacrificing Ratio

Choose the correct answer from the options given below:

Goodwill already exist in the books is written off by:

Solution

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CUET Accountancy Past Year Questions (Topic-Wise)