Solution of Q 7 Change in Profit-Sharing Ratio TS Grewal 2022-23 [CBSE]
Step-by-step solution of Question 7, Chapter 4 Change in Profit-Sharing Ratio Among the Existing Partners, TS Grewal Class 12 Accountancy 2022-23 for the CBSE Board.
Question 7
Mandeep, Vinod and Abbas are partners sharing profits and losses in the ratio of 3 : 2 : 1. From 1st April, 2022, they decided to share profits equally. The Partnership Deed provides that in the event of any change in profit-sharing ratio, goodwill shall be valued at three years’ purchase of average normal business profit of last five years. Normal business profits and losses of past five years are:
Profit—Year ended 31st March, 2018—₹1,00,000; 2019—₹1,50,000; 2021—₹2,00,000; 2022—₹2,00,000.
Loss—Year ended 31st March, 2020—₹50,000.
Pass the Journal entry showing the working.
Solution
All questions of Chapter 4
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About this solution
This is Chapter 4 Change in Profit-Sharing Ratio of TS Grewal Edition 2022-23.
Written by Vijay Adarsh, teaching commerce since 2003 to Class 11, Class 12, B.Com, CA, CS and CMA students.
We have solved all the practical questions in this book and explained them Step by Step in detail with clear working notes.
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