Home › CBSE Class 12 (Commerce) › Accountancy › Accounting for Partnership Firms: Change in Profit-Sharing Ratio and Admission of a Partner › Giri and Shanta share equally. Kachroo pays Rs. …
Giri and Shanta share equally. Kachroo pays Rs. 20,000 goodwill for 1/5, old-ratio sacrifice. Giri is credited?
ARs. 4,000
BRs. 10,000
CRs. 20,000
DRs. 5,000
Answer & Solution
Correct answer: B. Rs. 10,000
Equal old partners sacrifice equally, so the 20,000 premium splits into 10,000 each.
Related questions
Average profit Rs. 90,000, capital Rs. 8,00,000, normal rate 10%. Goodwill at 4 years' supProfits were 16,000; 20,000; 24,000; 32,000 on capital Rs. 1,00,000 at 18%. Goodwill at 3 Two equal partners admit C and the ratio becomes 2:1:2. Their sacrificing ratio?A and B share 2:1; with C the ratio becomes 3:2:1. Who sacrifices?Two equal partners admit C for 1/3, taken equally from both. New ratio?AS 26 defines an intangible asset as identifiable and what else?Purchased goodwill kept in books should be written off over at most how long?Under AS 26, how should internally generated goodwill be treated?