Class 12 Exam > Class 12 Questions > X Y and Z are partners sharing profits and lo...
Start Learning for Free
X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z?
Most Upvoted Answer
X Y and Z are partners sharing profits and losses in the ratio of 3:2:...
Solution:
(a) Entries to record the sale of Y's share to X and Z:
When Y retires and sells his share to X and Z, the following journal entry is passed:
Y's Capital Account Debit ₹ 30,000
X's Capital Account Credit ₹ 16,000
Z's Capital Account Credit ₹ 14,000
(b) Entries to distribute the profit between X and Z:
The profit for the year after Y's retirement is ₹48,000. This profit is distributed between X and Z in the ratio of 3:1.
The journal entry to distribute the profit between X and Z is:
Profit and Loss Account Debit ₹ 48,000
X's Capital Account Credit ₹ 36,000
Z's Capital Account Credit ₹ 12,000
Explanation:
(a) Entries to record the sale of Y's share to X and Z:
When Y retires and sells his share to X and Z, the following journal entry is passed:
Y's Capital Account Debit ₹ 30,000
Y's capital account is debited because he is retiring from the partnership. The amount debited is his share in the partnership which is calculated based on the profit and loss sharing ratio of the partnership. In this case, Y's share in the partnership is 1/6th of the total partnership.
X's Capital Account Credit ₹ 16,000
X's capital account is credited with ₹16,000 because he is buying Y's share in the partnership. The amount credited is the amount paid by X to Y for buying his share.
Z's Capital Account Credit ₹ 14,000
Z's capital account is credited with ₹14,000 because he is also buying Y's share in the partnership. The amount credited is the amount paid by Z to Y for buying his share.
(b) Entries to distribute the profit between X and Z:
The profit for the year after Y's retirement is ₹48,000. This profit is distributed between X and Z in the ratio of 3:1.
The journal entry to distribute the profit between X and Z is:
Profit and Loss Account Debit ₹ 48,000
The profit and loss account is debited because the profit is being distributed to the partners.
X's Capital Account Credit ₹ 36,000
X's capital account is credited with ₹36,000 because he is entitled to 3/4th of the profit as per the profit and loss sharing ratio of the partnership.
Z's Capital Account Credit ₹ 12,000
Z's capital account is credited with ₹12,000 because he is entitled to 1/4th of the profit as per the profit and loss sharing ratio of the partnership.
(a) Entries to record the sale of Y's share to X and Z:
When Y retires and sells his share to X and Z, the following journal entry is passed:
Y's Capital Account Debit ₹ 30,000
X's Capital Account Credit ₹ 16,000
Z's Capital Account Credit ₹ 14,000
(b) Entries to distribute the profit between X and Z:
The profit for the year after Y's retirement is ₹48,000. This profit is distributed between X and Z in the ratio of 3:1.
The journal entry to distribute the profit between X and Z is:
Profit and Loss Account Debit ₹ 48,000
X's Capital Account Credit ₹ 36,000
Z's Capital Account Credit ₹ 12,000
Explanation:
(a) Entries to record the sale of Y's share to X and Z:
When Y retires and sells his share to X and Z, the following journal entry is passed:
Y's Capital Account Debit ₹ 30,000
Y's capital account is debited because he is retiring from the partnership. The amount debited is his share in the partnership which is calculated based on the profit and loss sharing ratio of the partnership. In this case, Y's share in the partnership is 1/6th of the total partnership.
X's Capital Account Credit ₹ 16,000
X's capital account is credited with ₹16,000 because he is buying Y's share in the partnership. The amount credited is the amount paid by X to Y for buying his share.
Z's Capital Account Credit ₹ 14,000
Z's capital account is credited with ₹14,000 because he is also buying Y's share in the partnership. The amount credited is the amount paid by Z to Y for buying his share.
(b) Entries to distribute the profit between X and Z:
The profit for the year after Y's retirement is ₹48,000. This profit is distributed between X and Z in the ratio of 3:1.
The journal entry to distribute the profit between X and Z is:
Profit and Loss Account Debit ₹ 48,000
The profit and loss account is debited because the profit is being distributed to the partners.
X's Capital Account Credit ₹ 36,000
X's capital account is credited with ₹36,000 because he is entitled to 3/4th of the profit as per the profit and loss sharing ratio of the partnership.
Z's Capital Account Credit ₹ 12,000
Z's capital account is credited with ₹12,000 because he is entitled to 1/4th of the profit as per the profit and loss sharing ratio of the partnership.
Community Answer
X Y and Z are partners sharing profits and losses in the ratio of 3:2:...
XY and Z are partners sharing profit and losses in the ratio three is to 2 is to one why retire the selling is the share 2X – Z1 60,001,00,00 being paid by X and sine 60,000 by Jet the profit of the year while retirement is two 40,000 for a record the sale of X and YZ and profit between X and Z
|
Explore Courses for Class 12 exam
|
|
Similar Class 12 Doubts
X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z?
Question Description
X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? for Class 12 2024 is part of Class 12 preparation. The Question and answers have been prepared according to the Class 12 exam syllabus. Information about X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? covers all topics & solutions for Class 12 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z?.
X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? for Class 12 2024 is part of Class 12 preparation. The Question and answers have been prepared according to the Class 12 exam syllabus. Information about X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? covers all topics & solutions for Class 12 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z?.
Solutions for X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? in English & in Hindi are available as part of our courses for Class 12.
Download more important topics, notes, lectures and mock test series for Class 12 Exam by signing up for free.
Here you can find the meaning of X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? defined & explained in the simplest way possible. Besides giving the explanation of
X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z?, a detailed solution for X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? has been provided alongside types of X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? theory, EduRev gives you an
ample number of questions to practice X Y and Z are partners sharing profits and losses in the ratio of 3:2:1.Y retires selling his share to X and Z for ₹16 000 ₹10 000 being paid by X and ₹6 000 by Z.The profit for the year after Y's retirement is 48 000. Pass entries to (a) record the sale of Y's share to X and Z and (b) distribute the profit between X and Z? tests, examples and also practice Class 12 tests.
|
|
Explore Courses for Class 12 exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup