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A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?
- a)Rs. 55,000
- b)NIL
- c)Rs. 20,000
- d)Rs. 15,000
Correct answer is option 'B'. Can you explain this answer?
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A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respec...
Calculation of Goodwill After Admission of C
Given:
Partner A's Capital = Rs. 50,000
Partner B's Capital = Rs. 40,000
C's Capital = Rs. 50,000
Goodwill = Rs. 35,000
As per the question, the goodwill was adjusted through the capital accounts of the partners. This means that the existing partners A and B reduced their capital by Rs. 17,500 each (half of the goodwill amount) and the same amount was credited to the goodwill account.
So, after the admission of C, the capital accounts of A and B would be:
Partner A's Capital = Rs. 50,000 - Rs. 17,500 = Rs. 32,500
Partner B's Capital = Rs. 40,000 - Rs. 17,500 = Rs. 22,500
Now, as no amount was brought against goodwill by C, there will be no change in the value of goodwill in the books. Therefore, the correct answer is option B - NIL.
Summary
Partner A's Capital = Rs. 32,500
Partner B's Capital = Rs. 22,500
Goodwill = Rs. 35,000 (no change after admission of C)
Given:
Partner A's Capital = Rs. 50,000
Partner B's Capital = Rs. 40,000
C's Capital = Rs. 50,000
Goodwill = Rs. 35,000
As per the question, the goodwill was adjusted through the capital accounts of the partners. This means that the existing partners A and B reduced their capital by Rs. 17,500 each (half of the goodwill amount) and the same amount was credited to the goodwill account.
So, after the admission of C, the capital accounts of A and B would be:
Partner A's Capital = Rs. 50,000 - Rs. 17,500 = Rs. 32,500
Partner B's Capital = Rs. 40,000 - Rs. 17,500 = Rs. 22,500
Now, as no amount was brought against goodwill by C, there will be no change in the value of goodwill in the books. Therefore, the correct answer is option B - NIL.
Summary
Partner A's Capital = Rs. 32,500
Partner B's Capital = Rs. 22,500
Goodwill = Rs. 35,000 (no change after admission of C)
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A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respec...
Bcoz old value of gd will 35000 shared between old partner in their old ration before admission of C
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A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer?
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A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer?.
A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer?.
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A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer?, a detailed solution for A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice A and B are partners with the capital Rs. 50,000 and Rs. 40,000 respectively. They share profits and losses equally. C is admitted on bringing Rs. 50,000 as capital only and nothing was brought against goodwill. Goodwill valued as Rs. 35,000 which was adjusted through the Capital accounts of the partners. What will be value of goodwill in the books after the admission of C?a)Rs. 55,000b)NILc)Rs. 20,000d)Rs. 15,000Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
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