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Amrita and Kalyani are partners sharing profits in the ratio of 3 : 2. They decided to expand the business by admitting Suraj as new partner for 1/4th share. Suraj's share of goodwill is valued at Rs. 90,000 for which he compensated Amrita and Kalyani in the ratio 1 : 4. Following information is also provided :

Particulars	Book Value (Rs.)	Revalued figure (Rs.)
Machinery	25,00,000	27,00,000
Land	10,00,000	50,00,000
Computers	2,50,000	50,000
Workmen Compensation Fund	5,00,000

Claim against workmen compensation is Rs. 2,00,000 and goodwill appeared in the books at Rs. 60,000

Amrita and Kalyani are partners sharing profits in the ratio of 3 : 2. They decided to expand the business by admitting Suraj as new partner for 1/4th share. Suraj's share of goodwill is valued at Rs. 90,000 for which he compensated Amrita and Kalyani in the ratio 1 : 4. Following information is also provided :

Particulars	Book Value (Rs.)	Revalued figure (Rs.)
Machinery	25,00,000	27,00,000
Land	10,00,000	50,00,000
Computers	2,50,000	50,000
Workmen Compensation Fund	5,00,000

Claim against workmen compensation is Rs. 2,00,000 and goodwill appeared in the books at Rs. 60,000

Amrita and Kalyani are partners sharing profits in the ratio of 3 : 2. They decided to expand the business by admitting Suraj as new partner for 1/4th share. Suraj's share of goodwill is valued at Rs. 90,000 for which he compensated Amrita and Kalyani in the ratio 1 : 4. Following information is also provided :

Particulars	Book Value (Rs.)	Revalued figure (Rs.)
Machinery	25,00,000	27,00,000
Land	10,00,000	50,00,000
Computers	2,50,000	50,000
Workmen Compensation Fund	5,00,000

Claim against workmen compensation is Rs. 2,00,000 and goodwill appeared in the books at Rs. 60,000

Amrita and Kalyani are partners sharing profits in the ratio of 3 : 2. They decided to expand the business by admitting Suraj as new partner for 1/4th share. Suraj's share of goodwill is valued at Rs. 90,000 for which he compensated Amrita and Kalyani in the ratio 1 : 4. Following information is also provided :

Particulars	Book Value (Rs.)	Revalued figure (Rs.)
Machinery	25,00,000	27,00,000
Land	10,00,000	50,00,000
Computers	2,50,000	50,000
Workmen Compensation Fund	5,00,000

Claim against workmen compensation is Rs. 2,00,000 and goodwill appeared in the books at Rs. 60,000

A, B and C were partner's in a firm sharing profit and losses in the Ratio of 5 : 3 : 2. They admitted D into partnership for 1/5 share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash Capital brought in by is Rs. 50,000. On the date of admission the Balance Sheet of A, B and C was as follows :

Balance Sheet as on 31st March, 2021

Liability	Rs.	Assets	Rs.
Capital		Building and Furniture	1,50,000
A 1,00,000		Debtors 55,000
B 60,000		Provision 5,000	50,000
C 40,000	2,00,000	Cash	20,000
Creditors	50,000	Profit and Loss (2020-21)	30,000
	2,50,000		2,50,000

Goodwill is to be valued at 3 years purchase of average profit of last 4 years which were Rs. 60,000 (2017-18), Rs. 60,000 (18-19), Rs. 30,000 (19-20). On revaluation it was found that all debtors are good.

A, B and C were partner's in a firm sharing profit and losses in the Ratio of 5 : 3 : 2. They admitted D into partnership for 1/5 share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash Capital brought in by is Rs. 50,000. On the date of admission the Balance Sheet of A, B and C was as follows :

Balance Sheet as on 31st March, 2021

Liability	Rs.	Assets	Rs.
Capital		Building and Furniture	1,50,000
A 1,00,000		Debtors 55,000
B 60,000		Provision 5,000	50,000
C 40,000	2,00,000	Cash	20,000
Creditors	50,000	Profit and Loss (2020-21)	30,000
	2,50,000		2,50,000

Goodwill is to be valued at 3 years purchase of average profit of last 4 years which were Rs. 60,000 (2017-18), Rs. 60,000 (18-19), Rs. 30,000 (19-20). On revaluation it was found that all debtors are good.

A, B and C were partner's in a firm sharing profit and losses in the Ratio of 5 : 3 : 2. They admitted D into partnership for 1/5 share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash Capital brought in by is Rs. 50,000. On the date of admission the Balance Sheet of A, B and C was as follows :

Balance Sheet as on 31st March, 2021

Liability	Rs.	Assets	Rs.
Capital		Building and Furniture	1,50,000
A 1,00,000		Debtors 55,000
B 60,000		Provision 5,000	50,000
C 40,000	2,00,000	Cash	20,000
Creditors	50,000	Profit and Loss (2020-21)	30,000
	2,50,000		2,50,000

Goodwill is to be valued at 3 years purchase of average profit of last 4 years which were Rs. 60,000 (2017-18), Rs. 60,000 (18-19), Rs. 30,000 (19-20). On revaluation it was found that all debtors are good.

A, B and C were partner's in a firm sharing profit and losses in the Ratio of 5 : 3 : 2. They admitted D into partnership for 1/5 share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash Capital brought in by is Rs. 50,000. On the date of admission the Balance Sheet of A, B and C was as follows :

Balance Sheet as on 31st March, 2021

Liability	Rs.	Assets	Rs.
Capital		Building and Furniture	1,50,000
A 1,00,000		Debtors 55,000
B 60,000		Provision 5,000	50,000
C 40,000	2,00,000	Cash	20,000
Creditors	50,000	Profit and Loss (2020-21)	30,000
	2,50,000		2,50,000

Goodwill is to be valued at 3 years purchase of average profit of last 4 years which were Rs. 60,000 (2017-18), Rs. 60,000 (18-19), Rs. 30,000 (19-20). On revaluation it was found that all debtors are good.

A, B and C were partner's in a firm sharing profit and losses in the Ratio of 5 : 3 : 2. They admitted D into partnership for 1/5 share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash Capital brought in by is Rs. 50,000. On the date of admission the Balance Sheet of A, B and C was as follows :

Balance Sheet as on 31st March, 2021

Liability	Rs.	Assets	Rs.
Capital		Building and Furniture	1,50,000
A 1,00,000		Debtors 55,000
B 60,000		Provision 5,000	50,000
C 40,000	2,00,000	Cash	20,000
Creditors	50,000	Profit and Loss (2020-21)	30,000
	2,50,000		2,50,000

Goodwill is to be valued at 3 years purchase of average profit of last 4 years which were Rs. 60,000 (2017-18), Rs. 60,000 (18-19), Rs. 30,000 (19-20). On revaluation it was found that all debtors are good.

Case Study

Read the following information to answer.

Arun and Ram are partners in a restaurant business sharing profits and losses in capital ratio. Their fixed capital from the beginning of the firm was Rs. 2,00,000 and Rs. 1,50,000 respectively.

The profit for the year ended 31 March 2022 before the appropriation of Salary and Interest on Capital was Rs. 2,20,000. Ram is allowed a salary of Rs. 2,000 per quarter. Interest on capital is allowed to all partners @ 10 % p.a.

Due to the further expansion of the business, they decided to enter Sanjeev as a new partner for $\frac{1}{5}$ share in profits. It was agreed that Sanjeev will bring Rs. 1,00,000 as capital and Rs. 50,000 as his share of Goodwill. It was decided that he will give Rs. 1,00,000 as loan to the firm for 3 years.

Case Study

Read the following information to answer.

Arun and Ram are partners in a restaurant business sharing profits and losses in capital ratio. Their fixed capital from the beginning of the firm was Rs. 2,00,000 and Rs. 1,50,000 respectively.

The profit for the year ended 31 March 2022 before the appropriation of Salary and Interest on Capital was Rs. 2,20,000. Ram is allowed a salary of Rs. 2,000 per quarter. Interest on capital is allowed to all partners @ 10 % p.a.

Due to the further expansion of the business, they decided to enter Sanjeev as a new partner for $\frac{1}{5}$ share in profits. It was agreed that Sanjeev will bring Rs. 1,00,000 as capital and Rs. 50,000 as his share of Goodwill. It was decided that he will give Rs. 1,00,000 as loan to the firm for 3 years.

Case Study

Read the following information to answer.

Arun and Ram are partners in a restaurant business sharing profits and losses in capital ratio. Their fixed capital from the beginning of the firm was Rs. 2,00,000 and Rs. 1,50,000 respectively.

The profit for the year ended 31 March 2022 before the appropriation of Salary and Interest on Capital was Rs. 2,20,000. Ram is allowed a salary of Rs. 2,000 per quarter. Interest on capital is allowed to all partners @ 10 % p.a.

Due to the further expansion of the business, they decided to enter Sanjeev as a new partner for $\frac{1}{5}$ share in profits. It was agreed that Sanjeev will bring Rs. 1,00,000 as capital and Rs. 50,000 as his share of Goodwill. It was decided that he will give Rs. 1,00,000 as loan to the firm for 3 years.

Case Study

Read the following information to answer.

Arun and Ram are partners in a restaurant business sharing profits and losses in capital ratio. Their fixed capital from the beginning of the firm was Rs. 2,00,000 and Rs. 1,50,000 respectively.

The profit for the year ended 31 March 2022 before the appropriation of Salary and Interest on Capital was Rs. 2,20,000. Ram is allowed a salary of Rs. 2,000 per quarter. Interest on capital is allowed to all partners @ 10 % p.a.

Due to the further expansion of the business, they decided to enter Sanjeev as a new partner for $\frac{1}{5}$ share in profits. It was agreed that Sanjeev will bring Rs. 1,00,000 as capital and Rs. 50,000 as his share of Goodwill. It was decided that he will give Rs. 1,00,000 as loan to the firm for 3 years.

Case Study

Read the following information to answer.

Arun and Ram are partners in a restaurant business sharing profits and losses in capital ratio. Their fixed capital from the beginning of the firm was Rs. 2,00,000 and Rs. 1,50,000 respectively.

The profit for the year ended 31 March 2022 before the appropriation of Salary and Interest on Capital was Rs. 2,20,000. Ram is allowed a salary of Rs. 2,000 per quarter. Interest on capital is allowed to all partners @ 10 % p.a.

Due to the further expansion of the business, they decided to enter Sanjeev as a new partner for $\frac{1}{5}$ share in profits. It was agreed that Sanjeev will bring Rs. 1,00,000 as capital and Rs. 50,000 as his share of Goodwill. It was decided that he will give Rs. 1,00,000 as loan to the firm for 3 years.

A and B are two partners, dealing in manufacturing steel, sharing profits in the ratio of 2 : 1. They enjoying a buoyant demand of its products as economic growth is about 7% - 8% and the demand for steel is growing. It is planned to set up a new steel plant to encash on the increasing demand. It is estimated that they will require about Rs. 1,00,000. So they admitted, C as a partner. On the date of admission Balance sheet is as follows.

Balance Sheet of A and B

Liabilities	Rs.	Assets	Rs.
Bills Payble	10,000	Cash in hand	10,000
Sundry creditor	58,000	Cash at bank	40,000
Outstanding Expenses	2,000	Sundry Debtors	60,000
Capital	3,30,000	Stock	40,000
A - 1,80,000		Plant and Machinery	1,00,000
B - 1,50,000		Building	1,50,000
	4,00,000		4,00,000

Other information :

1. C will bring in Rs. 1,00,000 as capital and Rs. 60,000 as his share of goodwill for $\frac{1}{4}$ share in profit.
2. Plant is to be appreciated to Rs. 1,20,000 and the value of building is to be appreciated by 10%.
3. Stock is found overvalued by Rs. 4,000.
4. A provision for doubtful debts is to be created at 5% of debtors.
5. Creditors were unrecorded to the extant of Rs. 1,000.

On the basis of above case study, answer the following :

A and B are two partners, dealing in manufacturing steel, sharing profits in the ratio of 2 : 1. They enjoying a buoyant demand of its products as economic growth is about 7% - 8% and the demand for steel is growing. It is planned to set up a new steel plant to encash on the increasing demand. It is estimated that they will require about Rs. 1,00,000. So they admitted, C as a partner. On the date of admission Balance sheet is as follows.

Balance Sheet of A and B

Liabilities	Rs.	Assets	Rs.
Bills Payble	10,000	Cash in hand	10,000
Sundry creditor	58,000	Cash at bank	40,000
Outstanding Expenses	2,000	Sundry Debtors	60,000
Capital	3,30,000	Stock	40,000
A - 1,80,000		Plant and Machinery	1,00,000
B - 1,50,000		Building	1,50,000
	4,00,000		4,00,000

Other information :

1. C will bring in Rs. 1,00,000 as capital and Rs. 60,000 as his share of goodwill for $\frac{1}{4}$ share in profit.
2. Plant is to be appreciated to Rs. 1,20,000 and the value of building is to be appreciated by 10%.
3. Stock is found overvalued by Rs. 4,000.
4. A provision for doubtful debts is to be created at 5% of debtors.
5. Creditors were unrecorded to the extant of Rs. 1,000.

On the basis of above case study, answer the following :

A and B are two partners, dealing in manufacturing steel, sharing profits in the ratio of 2 : 1. They enjoying a buoyant demand of its products as economic growth is about 7% - 8% and the demand for steel is growing. It is planned to set up a new steel plant to encash on the increasing demand. It is estimated that they will require about Rs. 1,00,000. So they admitted, C as a partner. On the date of admission Balance sheet is as follows.

Balance Sheet of A and B

Liabilities	Rs.	Assets	Rs.
Bills Payble	10,000	Cash in hand	10,000
Sundry creditor	58,000	Cash at bank	40,000
Outstanding Expenses	2,000	Sundry Debtors	60,000
Capital	3,30,000	Stock	40,000
A - 1,80,000		Plant and Machinery	1,00,000
B - 1,50,000		Building	1,50,000
	4,00,000		4,00,000

Other information :

1. C will bring in Rs. 1,00,000 as capital and Rs. 60,000 as his share of goodwill for $\frac{1}{4}$ share in profit.
2. Plant is to be appreciated to Rs. 1,20,000 and the value of building is to be appreciated by 10%.
3. Stock is found overvalued by Rs. 4,000.
4. A provision for doubtful debts is to be created at 5% of debtors.
5. Creditors were unrecorded to the extant of Rs. 1,000.

On the basis of above case study, answer the following :

A and B are two partners, dealing in manufacturing steel, sharing profits in the ratio of 2 : 1. They enjoying a buoyant demand of its products as economic growth is about 7% - 8% and the demand for steel is growing. It is planned to set up a new steel plant to encash on the increasing demand. It is estimated that they will require about Rs. 1,00,000. So they admitted, C as a partner. On the date of admission Balance sheet is as follows.

Balance Sheet of A and B

Liabilities	Rs.	Assets	Rs.
Bills Payble	10,000	Cash in hand	10,000
Sundry creditor	58,000	Cash at bank	40,000
Outstanding Expenses	2,000	Sundry Debtors	60,000
Capital	3,30,000	Stock	40,000
A - 1,80,000		Plant and Machinery	1,00,000
B - 1,50,000		Building	1,50,000
	4,00,000		4,00,000

Other information :

1. C will bring in Rs. 1,00,000 as capital and Rs. 60,000 as his share of goodwill for $\frac{1}{4}$ share in profit.
2. Plant is to be appreciated to Rs. 1,20,000 and the value of building is to be appreciated by 10%.
3. Stock is found overvalued by Rs. 4,000.
4. A provision for doubtful debts is to be created at 5% of debtors.
5. Creditors were unrecorded to the extant of Rs. 1,000.

On the basis of above case study, answer the following :

A and B are two partners, dealing in manufacturing steel, sharing profits in the ratio of 2 : 1. They enjoying a buoyant demand of its products as economic growth is about 7% - 8% and the demand for steel is growing. It is planned to set up a new steel plant to encash on the increasing demand. It is estimated that they will require about Rs. 1,00,000. So they admitted, C as a partner. On the date of admission Balance sheet is as follows.

Balance Sheet of A and B

Liabilities	Rs.	Assets	Rs.
Bills Payble	10,000	Cash in hand	10,000
Sundry creditor	58,000	Cash at bank	40,000
Outstanding Expenses	2,000	Sundry Debtors	60,000
Capital	3,30,000	Stock	40,000
A - 1,80,000		Plant and Machinery	1,00,000
B - 1,50,000		Building	1,50,000
	4,00,000		4,00,000

Other information :

1. C will bring in Rs. 1,00,000 as capital and Rs. 60,000 as his share of goodwill for $\frac{1}{4}$ share in profit.
2. Plant is to be appreciated to Rs. 1,20,000 and the value of building is to be appreciated by 10%.
3. Stock is found overvalued by Rs. 4,000.
4. A provision for doubtful debts is to be created at 5% of debtors.
5. Creditors were unrecorded to the extant of Rs. 1,000.

On the basis of above case study, answer the following :