Home › Bihar Board Class 12 (Commerce) › Accountancy › Reconstitution of a Partnership Firm › A new partner brings goodwill in cash. Which acc…
A new partner brings goodwill in cash. Which account is debited?
APremium for Goodwill A/c
BBank A/c in the books
CRevaluation Account
DPartners' capital A/c
Answer & Solution
Correct answer: B. Bank A/c in the books
The cash received is shown by debiting Bank A/c and crediting Premium for Goodwill A/c.
Related questions
A, B, C share 5:3:2 and C retires. A and B continue in the old ratio. What is their gaininThe new profit sharing ratio after retirement is the ratio in which whom share future profAccumulated losses at retirement are debited to all partners' capital accounts in which raRetiree's adjusted capital is Rs 60,000 but he is paid Rs 72,000. Hidden goodwill?A retiring partner is paid a lump sum above his adjusted capital. The excess is treated asOn retirement, the goodwill share of the outgoing partner is borne by whom?Annual profit is Rs 1,20,000. A 1/4 partner dies after 3 months. His profit share?The sum due to a retiring partner may include his share of profit up to what date?