Muft Shiksha
Update

Muft Shiksha™ एक 100% Free Education Portal है 🇮🇳, जिसका उद्देश्य Class 9–12 के हर विद्यार्थी तक High-Quality Education को पूरी तरह मुफ्त पहुँचाना है। 🇮🇳 हम मानते हैं कि अच्छी शिक्षा किसी student की आर्थिक स्थिति पर निर्भर नहीं होनी चाहिए। 🇮🇳 हर विद्यार्थी को वही Quality Study Material, MCQs, Quizzes, Exam Preparation, Concept-Based Learning और Bilingual Support मिलना चाहिए, जो आमतौर पर महंगी Coaching या Premium Platforms में मिलता है। Muft Shiksha™ 🇮🇳 इसी सोच के साथ बनाया गया है

Subjects
Class 12AccountancyReconstitution - Admission of a PartnerReservesExpert
0 reads0 ratings0 helpful

At the time of admission of a new partner, the Profit and Loss Account has a credit balance of ₹88,000 and the General Reserve is ₹44,000. The old partners share profits in the ratio 3:5:3. What amount will be credited to the second partner’s capital account?

Answer and explanation

Correct answer: ₹60,000

Both the credit balance of the Profit and Loss Account and the General Reserve are distributed among the old partners in their old profit-sharing ratio. Total amount = ₹88,000 + ₹44,000 = ₹1,32,000. The second partner’s share is ₹1,32,000 × 5/11 = ₹60,000, so option A is correct. ₹1,32,000 is the total accumulated amount, not the share of one partner. Exam tip: On admission, accumulated profits and reserves are distributed in the old partners’ old ratio, not in the new ratio.

Related tags

Admission Of A PartnerAccumulated ProfitsGeneral ReserveOld Profit Sharing RatioReservesReconstitution Admission Of A PartnerAccountancyClass 12 Mcq
सुधार सुझाएँ / Earn

Was this question useful?

No ratings yetWrite a review / Rate this question

Student Reviews

No published reviews yet.

KEEP PRACTISING

10 more MCQs
  1. 1At the time of admission of a new partner to whom is general reserve given?
  2. 2At the time of admission how is credit balance of Profit and Loss Account treated?
  3. 3At the time of admission what does debit balance of Profit and Loss Account show?
  4. 4A and B share profits in the old ratio of 3:2. At the time of admission of a new partner, the general reserve is ₹50,000. How much will A receive from the general reserve?
  5. 5X and Y are partners sharing profits in the old ratio of 4:1. The firm's reserve fund is ₹25,000. On reconstitution of the partnership, what share of the reserve fund will Y receive?
  6. 6Why does the new partner not receive a share of the old General Reserve?
  7. 7Which is the correct journal entry for distributing general reserve?
  8. 8Which entry is made for writing off debit balance of Profit and Loss Account?
  9. 9Profit and Loss Account has credit balance ₹30000. A and B share in 2:1. How much will be credited to B?
  10. 10A firm's Profit and Loss Account has a debit balance of ₹18,000. Partners A and B share profits and losses in the old ratio of 5:4. What amount will be debited to A's Capital Account?
Found an issue? Help improve this questionMy reports and replies

Add Muft Shiksha to your Home Screen

In Safari, tap Share, then Add to Home Screen.