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Question : Bakul and Gokul were partners in a firm sharing profits and losses in the ratio of 2: 1 with capitals of Rs. 40,000 and Rs. 30,000 respectively. They decided to admit Nakul into partnership on conditions that he would bring in Rs.20,000 as his capital and Rs.6,000 for his share of goodwill for 1/4th share of profits. Half of the amount of goodwill was withdrawn by the existing partners. The capital of the partners in the New firm were to be arranged in profit sharing ratio on the basis of Nakul's Capital and excess or deficit capital to be adjusted in cash.

Option 1: Bakul withdrew Rs 2,000 and Gokul withdrew Rs 11,000

Option 2: Bakul bring Rs 2,000 and Gokul Bring Rs 11,000

Option 3: Bakul withdrew Rs 2,000 and Gokul brings Rs 11,000

Option 4: None of the above


Team Careers360 21st Jan, 2024
Answer (1)
Team Careers360 22nd Jan, 2024

Correct Answer: Bakul withdrew Rs 2,000 and Gokul withdrew Rs 11,000


Solution : Answer = Baku withdrew Rs 2000 and Gokul withdrew Rs 11,000

Bakul Gokul Nakul Bakul Gokul Nakul
Bank 2000 1000 - By Bal. B/D 40000 30,000 -
By Bank - -

20,000

To Bal. C/D 42000 31000 20,000 By Premium for Goodwill 4000 2000 -
44000 32000 20000 44000 32000 20,000
By Bal C/D 42000 31000 20,000
To Cash 12000 11000
To Bal C/D 40,000 20,000 20,000
42000 31000 20000 42000 31000 20000

Let the total Capital of the new Firm be = 1

Nakul's share = 1/4

1/4 = 20,000

1 = 20,000 x4 = 80,000

Bakul = 2/3 x 3/4 = 2/4 x 80,000 = 40,000

Gokul = 1/3 x 3/4 = 1/4 x 80,000 = 20,000

Nakul = 1/4 x 80,000 = 20,000
Hence, the correct option is 1.

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