Practical Problem 10
IN THE BOOKS OF NEW FIRM | ||||||
Dr Profit and Loss Adjustment Account Cr | ||||||
Particular | Amt | Amt | Particular | Amt | Amt | |
To Machinery A/c | 2,100 | By Building A/c | 3,000 | |||
To Furniture A/c | 90 | By Stock A/c | 2,700 | |||
To R.D.D A/c | 1,350 | |||||
To Profit on Revaluation A/c | ||||||
Om Currentl A/c | 1,296 | |||||
Jay CurrentA/c | 864 | 2,160 | ||||
5,700 | 5,700 | |||||
Dr Partner Current A/c Cr | |||||
Particular | OM | JAY | Particular | OM | JAY |
To Cash A/c | 900 | 600 | By Bal b/d | 3,750 | 3,450 |
To Balance C/d | 5,946 | 4,914 | By Goodwill A/c | 1,800 | 1,200 |
By Revaluation A/c | 1,296 | 864 | |||
6,846 | 5,514 | 6,846 | 5,514 | ||
Balance sheet of New Firm as on 1st April…. | |||||
Liabilities | Amt | Amt | Asset | Amt | Amt |
Capital Account : | Building | 15,000 | |||
Om Capital A/c | 21,000 | Add : Appreciation | 3,000 | 18,000 | |
Jay Capital A/c | 21,000 | Machinery | 21,000 | ||
Jagdish Caital A/c | 9,000 | 51,000 | Less : Dep @ 10% | -2,100 | 18,900 |
Current Accounts : | Furniture | 900 | |||
OM A/c | 5,946 | Less : Dep @10% | -90 | 810 | |
Jay A/c | 4,914 | 10,860 | Stock | 12,300 | |
Add :Appreciation | 2,700 | 15,000 | |||
Creditor | 30,000 | Debtor | 27,000 | ||
Less : R.D.D @ 5% | -1,350 | 25,650 | |||
Cash | 13,500 | ||||
91,860 | 91,860 | ||||
Working:
Dr Cash A/c Cr | |||||
Particular | Amt | Amt | Particular | Amt | Amt |
To bal b/d | 3,000 | By Om Current A/c | 900 | ||
To Goodwill A/c | 3,000 | By Jay Current A/c | 600 | ||
To Jagdish Capital A/c | 9,000 | By Balance C/d | 13,500 | ||
15,000 | 15,000 | ||||
Dr Goodwill A/c Cr | |||||
Particular | Amt | Amt | Particular | Amt | Amt |
To Om Current A/c | 1,800 | By cash A/c | 3,000 | ||
To Jay Current A/c | 1,200 | 3,000 | |||
3,000 | 3,000 | ||||