Summary Class 12 Accountancy – Admission of a Partner (Practical Problems), CBSE | Solved Examples & Practice Questions

Class 12 Accountancy- Admission of a Partner[practical]
1. Step-by-Step Solved Questions (Practical)

Example 1 – Simple Admission

A and B share profits 3:2. C is admitted for 1/5th share. C brings ₹50,000 capital
and ₹10,000 goodwill.

Solution:
Step 1 – New Ratio

Old ratio = 3:2 → 5 parts
C’s share = 1/5 → Remaining for A & B = 4/5
A:B = 3:2 → A = 3/5 × 4/5 = 12/25, B = 2/5 × 4/5 = 8/25
New ratio = 12:8:5

Step 2 – Journal Entries

Cash brought:

Cash A/c Dr 60,000

To C’s Capital A/c 50,000

To C’s Goodwill A/c 10,000

Goodwill distribution:

C’s Goodwill A/c Dr 10,000

To A’s Capital A/c 6,000

To B’s Capital A/c 4,000

Main Answer:

New ratio: 12:8:5
Capitals adjusted as above

Example 2 – Revaluation of Assets & Liabilities

, X and Y share profits 2:1. Admit Z for 1/4th share. Stock ↑ ₹5,000, furniture ↓
₹1,000, creditors ↓ ₹2,000. Z brings ₹30,000 capital & ₹4,000 goodwill.

Step 1 – Revaluation A/c

Stock ↑ 5,000 → Dr Stock, Cr Revaluation A/c
Furniture ↓ 1,000 → Dr Revaluation, Cr Furniture
Creditors ↓ 2,000 → Dr Creditors, Cr Revaluation

Step 2 – Transfer Revaluation Profit/Loss to Old Partners

Net profit = 2,000
Share X:Y = 2:1 → X = 1,333, Y = 667

Step 3 – Cash & Goodwill Entry

Cash A/c Dr 34,000

To Z’s Capital 30,000

To Z’s Goodwill 4,000



Z’s Goodwill A/c Dr 4,000

To X’s Capital 2,667

To Y’s Capital 1,333

Main Answer:

Revaluation profit shared: X = 1,333, Y = 667
Goodwill shared: X = 2,667, Y = 1,333

Example 3 – Sacrificing Ratio

P and Q share 3:2. R admitted for 1/4th share. Goodwill ₹5,000, no cash brought.

Step 1 – Sacrificing Ratio

Old ratio: 3:2 → 5 parts
New ratio (assume) P:Q:R = 9:6:5