CA Foundation Exam > CA Foundation Questions > The capital of B and D are Rs. 90,000 and Rs....
Start Learning for Free
The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..
- a)Rs. 63,000 and Rs. 21,000
- b)Rs. 50,000 and Rs. 24,000
- c)Rs. 52,500 and Rs. 31,500
- d)Rs. 60,000 and Rs. 24,000
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with...
Explanation:
Step 1: Calculate the old profit sharing ratio
B's capital = Rs. 90,000
D's capital = Rs. 30,000
Total capital = Rs. 1,20,000
B's share = 3/4
D's share = 1/4
Step 2: Calculate the new profit sharing ratio
New ratio = 5:3
B's share = 5/8
D's share = 3/8
Step 3: Calculate the gain or loss due to change in profit sharing ratio
B's gain = (5/8 - 3/4) * 1,20,000 = Rs. 15,000
D's loss = (3/8 - 1/4) * 1,20,000 = Rs. 5,000
Step 4: Calculate the new capitals after adjustment
B's new capital = Rs. 1,05,000 (Rs. 90,000 + Rs. 15,000)
D's new capital = Rs. 25,000 (Rs. 30,000 - Rs. 5,000)
Step 5: Calculate the value of goodwill
Goodwill = Rs. 84,000
Step 6: Allocate the goodwill to B and D in their new profit sharing ratio
B's share = 5/8
D's share = 3/8
B's share of goodwill = (5/8) * Rs. 84,000 = Rs. 52,500
D's share of goodwill = (3/8) * Rs. 84,000 = Rs. 31,500
Step 7: Record the journal entry for the allocation of goodwill
B's capital account Dr. Rs. 52,500
D's capital account Dr. Rs. 31,500
To Goodwill account Cr. Rs. 84,000
Note: This is a simplified example and in practice, there may be additional adjustments and entries required. It is recommended to consult a professional accountant for accurate and comprehensive accounting treatment.
Step 1: Calculate the old profit sharing ratio
B's capital = Rs. 90,000
D's capital = Rs. 30,000
Total capital = Rs. 1,20,000
B's share = 3/4
D's share = 1/4
Step 2: Calculate the new profit sharing ratio
New ratio = 5:3
B's share = 5/8
D's share = 3/8
Step 3: Calculate the gain or loss due to change in profit sharing ratio
B's gain = (5/8 - 3/4) * 1,20,000 = Rs. 15,000
D's loss = (3/8 - 1/4) * 1,20,000 = Rs. 5,000
Step 4: Calculate the new capitals after adjustment
B's new capital = Rs. 1,05,000 (Rs. 90,000 + Rs. 15,000)
D's new capital = Rs. 25,000 (Rs. 30,000 - Rs. 5,000)
Step 5: Calculate the value of goodwill
Goodwill = Rs. 84,000
Step 6: Allocate the goodwill to B and D in their new profit sharing ratio
B's share = 5/8
D's share = 3/8
B's share of goodwill = (5/8) * Rs. 84,000 = Rs. 52,500
D's share of goodwill = (3/8) * Rs. 84,000 = Rs. 31,500
Step 7: Record the journal entry for the allocation of goodwill
B's capital account Dr. Rs. 52,500
D's capital account Dr. Rs. 31,500
To Goodwill account Cr. Rs. 84,000
Note: This is a simplified example and in practice, there may be additional adjustments and entries required. It is recommended to consult a professional accountant for accurate and comprehensive accounting treatment.
Free Test
FREE
| Start Free Test |
Community Answer
The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with...
THEY ALREADY GAVE THE NEW SHARING RATIOi.e 5:3.
.. . 84000×5÷8. = 52500. 84000×3÷8. = 31500.
.. . 84000×5÷8. = 52500. 84000×3÷8. = 31500.
|
Explore Courses for CA Foundation exam
|
|
Similar CA Foundation Doubts
Top Courses for CA FoundationView all
The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer?
Question Description
The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer?.
The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer?.
Solutions for The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer?, a detailed solution for The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? has been provided alongside types of The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice The capital of B and D are Rs. 90,000 and Rs. 30,000 respectively with the profit sharing ratio 3:1. The new ratio, admissible after 01.04.2006 is 5:3. Goodwill valued on 02.04.2006 as Rs. 84.000 will be credited to B and D’s capital by Rs……….and Rs…………..a)Rs. 63,000 and Rs. 21,000b)Rs. 50,000 and Rs. 24,000c)Rs. 52,500 and Rs. 31,500d)Rs. 60,000 and Rs. 24,000Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
|
|
Explore Courses for CA Foundation 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
|
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup