Revaluation

₹ ₹ ₹

TO BUILDING 15000 BY REVLN LOSS

TO STOCK 3000 B 12000
B 8000
To PDD 2000

20000 20000

Capital a/c
Badal bijli Rania Badal bijil rania
TO 30000 10000 BY 150000 90000
CURRENT BALB/D
BY CASH 40000
TO BAL 120000 80000 40000
C/D
(NEW
CAPITAL)
TOTAL 150000 90000 40000 150000 90000 40000

Current
Badal bijli Rania Badal bijil rania
TO BAL B/D 2000 BY BAL 12000
B/D
TO REVLN 12000 8000 IFR 14400 9600
LOSS 24000
DIVI 3:2
TO BALC/D 51600 14400 BY PRE 7200 4800
BAL BAL FIG FOR G/W

BY CAP 30000 10000

TOTAL 63600 24400 TOTAL 63600 24400

Rania brings capital Rania cap cr side as by cash

BRING G/W 12000 CASH
TO PREMIUM FOR G/W

PRE FOR G/W 12000

TO B CURRENT 7200
TO B CUREENT 4800
3:2

NUILDING OVERVALUED BY REVLN A/C DR SIDE

15000
STOCK OVERVALUED 3000
Pdd is 10%
20000 x 10/100 = 2000

CALCULATION OF OTHER PARTNERS

NPR
B B R
OLD RATIO 3/5 2/5
R SHARE 1/6
TOTAL=1
REMAINING=1-1/6
5/6
NPR 3/5 X 5/6 2/5X5/6 1/6 X5/5
=OLD SHARE X REM
SHARE
15/30 10/30 5/30
15 10 5
3 2 1

STEP 2
TOTAL CAPITAL OF THE FIRM = NEW PARTNER CAP X RECIPROCAL OF HIS SHARE
40000 X 6/1 = 240000

STEP 3
DIVIDE TOTAL CAPITAL OBTAINED IN NPR
240000 DIVIDE IN 3:2:1
BADAL 240000 X 3/6 = 120000
BIJLI 240000X 2/6= 80000
RANIA = 40000
BADAL 120000 BIJLI 80000 RANIA 40000

Revaluation
PARTICULARS AMOUNT PARTICULARS AMOUNT
MACH 21000 STOCK 70000
FURNITURE 5000
PDD 8000
REV PROFIT
G 27000
Y 9000 36000
70000
Capital a/c
G Y A G Y A
BAL B/D 400000 100000
CASH 210000
BY 50000
PRFOR
G/W
G 267000 REV 27000 9000
CURRENT PROFIT
TO BAL 210000 140000 210000 Y 31000
C/D CURRENT
477000 140000 210000 TOTAL 477000 140000 210000
Balance sheet
Lia Amount asset amount
SUNDRY CRS 50000 FURNITURE 60000
B/P 30000 LESS DEP (5000) 55000
STOCK 140000
+ INC IN STOCK +70000 210000
CAP 560000 DEBTORS 80000
G 210000
Y 140000
A 210000
-PDD (8000) 72000
G CURRENT 267000 CASH 90000
+ CAP OF ASMA 210000 350000
+ PRE FOR G/W 50000
MACH 210000
LESS DEP (21000) 189000
Y CURRENT 31000
907000 907000
Calculation of SACRIFICING RATIO
G Y A
OLD RATIO 3 1
NR 3 2 3
SR =OR-NR ¾-3/8 = ¼-2/8

SR 3 000
ONLY G SAC
ASMA BRING G/W CASH
TOPRE FOR G/W

PRE FOR G/W 50000

TO G CAP 50000
ON THE BASIS OF ASMA CAPITAL
STEP 1 3:2:3
CALCULATE NPR
TOTAL CAPITAL ON 210000 X RECIPROCAL OF ASMA SHARE
THE BASIS OF ASMA 210000 X 8/3
CAPITAL 560000
NEW CAPITAL
STEP 3 G = 560000 X 3/8 = 210000
DIVIDE TOTAL NEW Y = 560000 X 2/8 = 140000
CAPITAL IN NPSR A = 210000
CAPITAL A/C DR SIDE AS BALANCE C/D
G Y A
210000 140000 210000
 Working
2:1
Raman Rohit salomi
Old ratio 2 1
Salomi share ? =
4/15+1/15=5/1
5
Surrender 2/5 x 2/3 1/5 x 1/3

sacr 4/15 1/15

New = old -sac 2/3-4/15 1/3-1/15
New ratio 6 4 5
Salomi goodwill = 42000
42000 divide in SAC RATIO IN 4:1
RAMAN 42000 X 4/5 = 33600
ROHIT 42000 X 1/5 = 8400
S cap = raman adj cap + rohit adj cap = 161600 + 102400 = 264000 cao of old
partners
Adjusted capital of old partners x new partner share x reciprocal of remaining
share
(or)
Adjusted capital of old partners x 1/(3-1)
264000 x 1/(3-1) = 264000 x ½ = 132000 s capital

Revaluation
PARTICULARS AMOUNT PARTICULARS AMOUNT
PLANT AND MACH 35000 CRS 2500
FUR AND FIX 6500 REV LOSS
RAMAN 28000 42000
ROHIT 14000
PDD 3000

44500 44500

Capital a/c
 RAMAN ROHIT S RAMAN ROHIT SALOMI
REV LOSS 28000 14000 BAL B/D 140000 100000 XXX
WCR OR 16000 8000
40000-
16000=
24000
BY PR 33600 8400
FOR G/W
Bal c/d 161600 102400 132000 BY CASH 132000
Bal Bal ( s cap)

total 189600 Total 189600 116400

Balance sheet
Lia Amount asset amount
W C CLAIM 16000 PLANT AND 175000 140000
MAC (35000)
- DEP

CREDITORS 160000 157500 FUR AND FIX 65000

LESS W/O (2500) (6500) 58500
 STOCK 47000
Cap R 161600 396000 DEBTORS 110000 100000
R 102400 LESS PDD 7000 (10000)
S 132000 ADD 3000

CASH 50000 224000

+ S CAP+X 132000
PREMIUM FOR 42000
G/W

TOTAL 569500 TOTAL 569500

L M N O
OLD RATIO 3 2 1
NEW RATIO 2 2 1 1
SR=OR-NR 3/6-2/6 2/6-2/6 1/6-1/6
1/6 0 0
ONLY L SAC
GOODWILL OF THE FIRM = 180000
 SHARE = 180000 X 1/6 = 30000
O BRING G/W

CASH 30000
TO PRE FOR G/W 30000
IN CASH 30000 WILL BE ADDED

PRE FOR G/W 30000

TO L CAP 30000
IN L CAP CR SIDE

ADJUSTED CAP OF l+M+N

156000 +84000 + 42000= 282000

O CAP = 282000 X 1/(6-1) = 282000 X 1/5 = 56400 CAPITAL BROUGH BY O
Revaluation
PARTICULARS AMOUNT PARTICULARS AMOUNT
INVESTMENT 24000 CRS 6000
MACHINERY 12000 REV LOSS
L 15000
M 10000
N 5000
30000

TOTAL 36000 36000

Capital a/c
L M N O L M N O
REV 15000 10000 5000 BAL 120000 80000 40000
LOSS B/D
GEN 21000 14000 7000
RES
PRE 30000 X X
FOR
 G/W
BAL 156000 84000 42000 56400 BY ?
C/D CASH 56400

TOTAL 171000 94000 47000 56400 TOTAL 171000 94000 47000

Balance sheet
Lia Amount asset amount
CRS 168000 162000 BANK 34000 120400
- W/O (6000) + O CAP 56400
+PREMUIM 30000
DEBTORS 46000
STOCK 220000
CAPITAL 156000 338400 INVESTMENT 60000
84000 36000
42000 (24000)
56400
FURNITURE 20000
MACHINERY 70000
(12000) 58000
TOTAL 500400 TOTAL 500400