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Question : P, A and L are partners in a firm sharing profits and losses in the ratio of 3:2:1 respectively. Angad died and his claim, including Capital and entitlements from the firm including his share of Goodwill of the firm, is Rs. 50,000. After this amount was determined, it was found that there was an unrecorded piece of furniture valued at Rs. 12,000 which had to be recorded. Upon recording this piece of furniture, the revised amount due to A’s executor was determined and settled by giving him this piece of furniture and the balance in cash.
Q. Cash paid to A’s executors account is 

Option 1: Rs 42,000

Option 2: Rs 40,000

Option 3: Rs 54,000

Option 4: None of the above


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

Correct Answer: Rs 42,000


Solution : Answer = Rs 42,000

A’s executors A/C Dr. 54000
To Unrecorded Furniture A/c 12,000
To Cash - 42000

Hence, the correct option is 1.

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