Commerce Exam > Commerce Questions > X and Y are partners in a firm. they admit Z ...
Start Learning for Free
X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission.
Most Upvoted Answer
X and Y are partners in a firm. they admit Z as a new partner for 1/4t...
am not sure but I think the entry passed on admission of Z is:Z'S CAPITAL A/C. DR. 5000 TO Y'S CAPITAL A/C. 2500 TO X'S CAPITAL A/C. 2500.
Community Answer
X and Y are partners in a firm. they admit Z as a new partner for 1/4t...
Journal Entry for Z's Admission:
- Dr. Z's Capital A/c (Z's contribution for 1/4th share)
- Dr. General Reserve A/c (Retained general reserve)
- Cr. X's Capital A/c (Reducing X's share)
- Cr. Y's Capital A/c (Reducing Y's share)
Explanation:
When Z is admitted as a new partner for 1/4th share, Z's capital account is debited with the amount of Z's contribution for the share. The General Reserve account is also debited to retain the existing reserve in the books.
X and Y's capital accounts are credited to adjust their shares in the firm after Z's admission. This entry reflects the new profit-sharing ratio among the partners.
It is essential to make these journal entries to accurately record the changes in the firm's financial position after a new partner is admitted. This ensures that the balance sheet reflects the updated ownership structure and the continuation of the general reserve in the books.
- Dr. Z's Capital A/c (Z's contribution for 1/4th share)
- Dr. General Reserve A/c (Retained general reserve)
- Cr. X's Capital A/c (Reducing X's share)
- Cr. Y's Capital A/c (Reducing Y's share)
Explanation:
When Z is admitted as a new partner for 1/4th share, Z's capital account is debited with the amount of Z's contribution for the share. The General Reserve account is also debited to retain the existing reserve in the books.
X and Y's capital accounts are credited to adjust their shares in the firm after Z's admission. This entry reflects the new profit-sharing ratio among the partners.
It is essential to make these journal entries to accurately record the changes in the firm's financial position after a new partner is admitted. This ensures that the balance sheet reflects the updated ownership structure and the continuation of the general reserve in the books.
Attention Commerce Students!
To make sure you are not studying endlessly, EduRev has designed Commerce study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in Commerce.
|
Explore Courses for Commerce exam
|
|
Top Courses for CommerceView all
X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission.
Question Description
X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission..
X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission..
Solutions for X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. in English & in Hindi are available as part of our courses for Commerce.
Download more important topics, notes, lectures and mock test series for Commerce Exam by signing up for free.
Here you can find the meaning of X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. defined & explained in the simplest way possible. Besides giving the explanation of
X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission., a detailed solution for X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. has been provided alongside types of X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. theory, EduRev gives you an
ample number of questions to practice X and Y are partners in a firm. they admit Z as a new partner for 1/4th share. they have a General reserve of 20000 which they want to continue in the book .pass jornal entry on Z admission. tests, examples and also practice Commerce tests.
|
|
Explore Courses for Commerce exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup