Admission of a partner 3

Profit or loss on revaluation of assets and reassessment of liabilities is transferred to partners capital account in there

• Capital ratio

• Equal ratio

• Old profit sharing ratio

• Gaining ratio

In case of fixed capital, undistributed profits, general reserves, etc, are transferred to

• Partners capital account

• Partners current account

• Revaluation account

• Profit and loss adjustment account

Unrecorded assets or liabilities are transferred to

• Partners capital account

• Revaluation account

• Profit and loss account

• Partners current account

X and y are partners sharing profits in the ratio of 3: 2, and capitals as 1,00,000 and 50,000 respectively. Z is admitted for 1/5th share in profits.the amount Z will contribute as capital will be

• 50,000

• 35,000

• 37,500

• 60,000

Goodwill brought by the incoming partner is distributed among the old partners in their

• Old profit sharing ratio

• New profit sharing ratio

• Sacrificing ratio

• Gaining ratio

A and B are partners sharing profits in the ratio of 2: 3, they admit C as a partner for 1/4th share, the sacrificing ratio of a and b will be

• 2:3

• 1:1

• 3:2

• 2:1

P and q are partners in a firm having capital of rupees 15000 each.R is admitted for 1/3rdshare for which he has to bring rupees 20000 for his share of capital. The amount of goodwill will be

• 8000

• 10,000

• 9000

• 11000

At the time of admission if the profit sharing ratio among the old partner does not change then sacrificing ratio will be

• Equal

• According to the contribution of capital

• Their old profit sharing ratio

• According to new partner

At the time of admission of a partner, revaluation account is debited to record the increase in provision for doubtful debts

• True

• False

Increase in the value of assets is credited to revaluation account

• True

• False