Question:
Ashmit, Veena and Rohan were partners in a firm sharing profits and losses in the ratio of 3 : 2 : 1. Veena retired on 31st March, 2024. The capital accounts of Ashmit, Veena and Rohan showed a credit balance of ₹ 2,00,000, ₹ 1,80,000 and ₹ 1,20,000 respectively after making all adjustments relating to revaluation, goodwill, reserves etc. Veena was paid in cash brought in by Ashmit and Rohan in such a way that their capitals were in proportion to their new profit sharing ratio. The new capitals of Ashmit and Rohan will be :
Ashmit, Veena and Rohan were partners in a firm sharing profits and losses in the ratio of 3 : 2 : 1. Veena retired on 31st March, 2024. The capital accounts of Ashmit, Veena and Rohan showed a credit balance of ₹ 2,00,000, ₹ 1,80,000 and ₹ 1,20,000 respectively after making all adjustments relating to revaluation, goodwill, reserves etc. Veena was paid in cash brought in by Ashmit and Rohan in such a way that their capitals were in proportion to their new profit sharing ratio. The new capitals of Ashmit and Rohan will be :
Show Hint
To adjust capital after retirement, add the outgoing partner's capital to the existing capital and then divide as per new profit-sharing ratio.
Updated On: Jul 4, 2025
- Ashmit ₹ 3,75,000 and Rohan ₹ 1,25,000
- Ashmit ₹ 2,00,000 and Rohan ₹ 1,20,000
- Ashmit ₹ 2,50,000 and Rohan ₹ 2,50,000
- Ashmit ₹ 3,00,000 and Rohan ₹ 2,00,000
Hide Solution
Verified By Collegedunia
The Correct Option is D
Solution and Explanation
Step 1: Determine total capital after Veena’s retirement.
The total capital after Veena’s retirement should be ₹ 5,00,000 (i.e., ₹ 2,00,000 + ₹ 1,20,000 + ₹ 1,80,000). This includes the amount to be paid to Veena. Step 2: Divide ₹ 5,00,000 in new ratio 3:2.
\[ \text{Ashmit's new capital} = \frac{3}{5} \times 5,00,000 = ₹ 3,00,000 \] \[ \text{Rohan's new capital} = \frac{2}{5} \times 5,00,000 = ₹ 2,00,000 \] Final Answer: Ashmit ₹ 3,00,000 and Rohan ₹ 2,00,000.
The total capital after Veena’s retirement should be ₹ 5,00,000 (i.e., ₹ 2,00,000 + ₹ 1,20,000 + ₹ 1,80,000). This includes the amount to be paid to Veena. Step 2: Divide ₹ 5,00,000 in new ratio 3:2.
\[ \text{Ashmit's new capital} = \frac{3}{5} \times 5,00,000 = ₹ 3,00,000 \] \[ \text{Rohan's new capital} = \frac{2}{5} \times 5,00,000 = ₹ 2,00,000 \] Final Answer: Ashmit ₹ 3,00,000 and Rohan ₹ 2,00,000.
Was this answer helpful?
0
0
Top Questions on Retirement and Death of a Partner
- Piyush, Aadi and Sudha were partners in a firm sharing profits and losses in the ratio of 4 : 3 : 3. Aadi died on 1st October, 2024. As per the partnership deed, Aadi’s share of profit or loss till the date of death was to be calculated on the basis of sales. Sales for the year ended 31st March, 2024 amounted to ₹ 6,00,000 and that from 1st April to 30th September, 2024 amounted to ₹ 2,00,000. The profit for the year ending 31st March, 2024 was calculated as ₹ 1,50,000. The books of accounts are closed on 31st March every year. Calculate Aadi’s share of profits in the firm and pass necessary journal entries for the same. Show your working clearly.}
- CBSE CLASS XII - 2025
- Accountancy
- Retirement and Death of a Partner
- Saurabh, Reena and Deepak were partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2. Saurabh died on 31st December, 2024. As per the partnership deed, Saurabh’s share of profit or loss till the date of death was to be calculated on the basis of sales. Sales for the year ended 31st March, 2024 amounted to ₹ 10,00,000 and that from 1st April, 2024 to 31st December, 2024 amounted to ₹ 7,50,000.
The profit for the year ending 31st March, 2024 was calculated as ₹ 5,00,000. The books of accounts are closed on 31st March every year.
Calculate Saurabh’s share in the profit of the firm till the date of his death.
Pass necessary journal entry for the same. Show your working clearly.- CBSE CLASS XII - 2025
- Accountancy
- Retirement and Death of a Partner
- Ashish, Vinit and Reema were partners sharing profits and losses in the ratio of 2 : 2 : 1. Their Balance Sheet on 31st March, 2024 was as follows :
Balance Sheet of Ashish, Vinit and Reema as at 31st March, 2024
(i) Goodwill of the firm was valued at ₹ 60,000 and the same was adjusted into the capital accounts of Ashish and Reema who will share profits in future in the ratio of 3 : 2.Liabilities Amount (₹) Assets Amount (₹) Capital: Ashish 2,00,000 Patents 80,000 Capital: Vinit 2,00,000 Furniture 3,00,000 Capital: Reema 1,00,000 Stock 1,70,000 General Reserve 50,000 Debtors 80,000 Bills Payable 80,000 Less: Provision for Doubtful Debts (8,000) Creditors 40,000 Net Debtors 72,000 Cash 48,000 Total 6,70,000 Total 6,70,000
(ii) Value of stock was to be reduced by ₹ 10,000.
(iii) Patents are found undervalued by 20%.
(iv) Vinit was paid ₹ 20,000 immediately on retirement and the balance was transferred to his loan account carrying interest @ 8% p.a.
Pass necessary journal entries on Vinit’s retirement.- CBSE CLASS XII - 2025
- Accountancy
- Retirement and Death of a Partner
- Zaina, Yash and Kiran were partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. Zaina died on 1st July, 2024. As per the partnership deed, Zaina’s share of profit or loss till the date of her death was to be calculated on the basis of sales. Sales for the year ended 31st March, 2024 amounted to ₹ 4,00,000 and that from 1st April to 30th June, 2024 was ₹ 1,50,000. The profit for the year ending 31st March, 2024 was ₹ 1,00,000. Calculate Zaina’s share of profit in the firm till the date of her death and pass necessary journal entry for the same.
- CBSE CLASS XII - 2025
- Accountancy
- Retirement and Death of a Partner
- Vishesh, Manik and Amit were partners in the ratio 5 : 4 : 1. Amit retired on 31st March, 2024. Vishesh and Manik decided to share Amit’s share in the ratio 2 : 3. What will be the new profit sharing ratio between Vishesh and Manik?
- CBSE CLASS XII - 2025
- Accountancy
- Retirement and Death of a Partner
View More Questions
Questions Asked in CBSE CLASS XII exam
- If \( \mathbf{a} \) and \( \mathbf{b} \) are position vectors of two points \( P \) and \( Q \) respectively, then find the position vector of a point \( R \) in \( QP \) produced such that \[ QR = \frac{3}{2} QP. \]
- ‘It is an equity-based investment in a growth-oriented small to medium business to enable the investor to accomplish objectives in return for minority shareholding in the business.’ This investment has to be carefully evaluated and analysed by an entrepreneur to find out the stage at which he/she requires this investment to assist in.
(i) Identify the type of capital discussed in the above lines.
(ii) Explain the three stages included in ‘Early Stage Financing’ if the capital identified in (i) above is required at this stage.- CBSE CLASS XII - 2025
- Business Finance
- ‘An affluent individual who provides capital for a business start-up and early stage companies having a high-risk, high-return matrix usually in exchange for convertible debt or ownership equity.’
(i) Identify the source to raise finance available to an entrepreneur discussed in the above lines.
(ii) State any four features of the source of raising finance discussed in (i) above.- CBSE CLASS XII - 2025
- Business Finance
- ‘Royal Fruit Juice Ltd.’ are the manufacturers of different types of fruit juices. They do not use any artificial flavours in their products. The fixed cost of the production process is Rs. 1,76,000. Given below is information about Mango, Orange and Guava fruit juices.From the above data, calculate the following :
Type of Juice Mango Orange Guava Selling Price (Rs./Litre) 150 135 100 Variable Cost (Rs./Litre) 80 65 60 Sales Mix Percentage 20% 40% 40%
(a) Total weighted average contribution margin per unit.
(b) Break-even point in units of sales mix.
(c) Break-even point (in <) for each type of juice.- CBSE CLASS XII - 2025
- Business Environment
- ‘Good Air Ltd.’ is the manufacturer of different types of electric fans like ceiling fans, table fans, exhaust fans, etc. It wanted to start its operations in the recently electrified rural areas ahead of its competitors. It invested in research and development to adopt new technology so that it could produce energy efficient fans at lower cost. The government was stable for the last many years and was focusing on electrification of rural areas. ‘Good Air Ltd.’ took advantage of this and started its operations. The company complied with health and safety regulations, as well as environmental protection laws, to ensure customer safety. As its policy, the company also assures compensation to its customers in case of an injury or accident due to its fans. Since the disposable income of the people in rural areas was low, the company offered an instalment scheme, making its products more accessible to them. Committed to sustainability, the company ensures that its production causes minimum environmental damage. For this, it focuses on reducing waste by recycling production by-products and using biodegradable packaging materials whenever possible. Quoting lines from the above text, identify five macro environmental factors that the company took into consideration while operating its business.
- CBSE CLASS XII - 2025
- Business Environment
View More Questions