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Question : Banwari, Girdhari and Murari are partners in a firm sharing profits and losses in the ratio of 4: 5: 6. On 31st March, 2014, Girdhari retired. On that date the capitals of Banwari, Girdhari and Murari before the necessary adjustments stood at Rs. 2,00,000, Rs.1,00,000 and Rs. 50,000 respectively. On Girdhari's retirement, goodwill of the firm was valued at Rs. 1,14,000. Revaluation of assets and reassessment of liabilities resulted in a profit of Rs. 6,000. General Reserve stood in the books of the firm at Rs. 30,000 .

The amount payable to Girdhari was transferred to his Loan Account. Banwari and Murari agreed to pay Girdhari two yearly instalments of Rs. 75,000 each including interest @ 10% p.a. on the outstanding balance during the first two years and the balance including interest in the third year. The firm closes its books on 31st March every year.
Question:
Amount Transferred to his loan Account will be .....

Option 1: Rs 1,30,000

Option 2: Rs 1,20,000

Option 3: Rs 1,50,000

Option 4: None of the above


Team Careers360 19th Jan, 2024
Answer (1)
Team Careers360 25th Jan, 2024

Correct Answer: Rs 1,50,000


Solution : Answer = Rs 1,50,000

Amount due to Girdhari

Capital Balance = 1,00,000

Revaluation Profit ($60000\times\frac{5}{15}$) = 2000

⇒ General Reserve ($30000\times\frac{1}{2}$) = 10,000

⇒Goodwill (($114000\times\frac{1}{3}$) = 38000

Amount transfer to loan account = 1,50,000
Hence, the correct option is 3.

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