C's current account. dr. 14000
to A's capital account. 6000
to b's current account. 8000

Journal Entry for Admission of C into Partnership

The admission of a new partner changes the profit-sharing ratio of the existing partners. In this case, A and B are partners sharing profits in the ratio of 4:3. C is admitted into the partnership, and the new ratio is determined at 3:2:1. C does not pay anything for his share of goodwill. The goodwill of the firm is valued at 84000.

Here is the journal entry for the admission of C into the partnership:

1. To record the transfer of goodwill to the partners' capital accounts:

Goodwill A/c 84000
To A’s Capital A/c 33600
To B’s Capital A/c 25200
To C’s Capital A/c 16800

(Being the goodwill transferred to partners' capital accounts)

2. To record C's capital contribution:

Cash A/c XXXX
To C’s Capital A/c XXXX

(Being C's capital contribution)

Note: The XXXX represents the amount of capital contributed by C.

Explanation:

The above journal entry records the transfer of goodwill to the partners' capital accounts and C's capital contribution. The goodwill of the firm is valued at 84000 and is transferred to the partners' capital accounts in their profit-sharing ratio. A's capital account is debited with 33600 (4/7 of 84000), B's capital account is debited with 25200 (3/7 of 84000), and C's capital account is debited with 16800 (1/7 of 84000).

C's capital contribution is credited to the cash account and debited to C's capital account. The amount of capital contributed by C is not given in the question, so it is represented by XXXX.

Conclusion:

The admission of a new partner requires the transfer of goodwill to the partners' capital accounts and the recording of the new partner's capital contribution. The above journal entry explains the transfer of goodwill to the partners' capital accounts and C's capital contribution.