Admission Questions

Sometimes the value of Goodwill is not given directly at the time of admission/retirement of a partner. In such a situation, it has to be inferred from the total capital structure and profit-sharing ratio. Such Goodwill is called:

The ratio in which the old partners agree to give their share of profit in favor of the incoming partner is called:

$A$, $B$, and $C$ are partners sharing profits in the ratio of $3:2:1$. $D$ is admitted into the firm for a $\frac{1}{4}\text{th}$ share of profit, which he acquires as $\frac{1}{8}\text{th}$ from $A$ and $\frac{1}{8}\text{th}$ from $B$. Calculate the new profit-sharing ratio of all four partners.

A, B and C were partner's in a firm sharing profit and losses in the Ratio of $5:3:2$. They admitted D into partnership for $1/5$ share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash. Capital brought in by is Rs. $50,000$. On the date of admission the Balance Sheet of A, B and C was as follows :Balance Sheet as on 31st March, 2021

Goodwill is to be valued at $3$ years purchase of average profit of last $4$ years which were Rs. $60,000$ (2017-18), Rs. $60,000$ (18-19), Rs. $30,000$ (19-20). On revaluation it was found that all debtors are good.What would be the new Profit Sharing Ratio :

A and B are partners sharing profits equally with capitals of $\text{Rs. }45,000$ each. They admitted C as a new partner for $\frac{1}{3}\text{rd}$ share in the profit. C brings $\text{Rs. }60,000$ as his capital. Find the goodwill of the firm.

A new partner can be admitted:

Calculate the Normal Rate of Return if the firm's normal profit is $\text{Rs. }30,000$, total assets are $\text{Rs. }5,30,000$, and external liabilities are $\text{Rs. }30,000$, for the purpose of valuing goodwill at the time of a partner's admission.

A and B share profits in the ratio of $3:2$. C was admitted as a partner who gets $\frac{1}{5}$ share. New profit sharing ratio, if C acquires $\frac{3}{20}$ from A and $\frac{1}{20}$ from B, would be:

A newly admitted partner acquires an immediate statutory right to:

When a new partner brings his share of goodwill in cash, the amount is credited to:

Abhiram and Ragini are partners sharing profits in the ratio of $3:2$. They admit Arun as a new partner for $\frac{1}{5}\text{th}$ share in the future profits of the firm which he gets equally from Abhiram and Ragini. Calculate the new profit sharing ratio of Abhiram, Ragini and Arun.

When a new partner brings his share of goodwill in cash, the amount brought in is credited to:

The past average profits of a business work out at $\text{Rs. }20,000$ and it is expected that such profits are likely to continue for another three years. The value of goodwill based on the average profit method will be _________.

The goodwill brought in by the new partner is distributed by old partner their:

While doing adjustment of partners' capital, for the amount of capital to be brought in by the partner, the following entry will be passed:

On the admission of a new partner, an increase in the value of assets is debited to:

L and M are partners sharing profits in the ratio $3:2$. N is admitted as a partner for $\frac{1}{5}\text{th}$ of the share which is acquired entirely from L. Goodwill of the firm is valued at $\text{Rs. }40,000$ on N's admission. N will have to pay for Goodwill:

Arrange the steps in proper sequence to calculate Goodwill through the Super Profits Method.(A) Calculate the normal profit on the firm's capital on the basis of the normal rate of return.(B) Calculate the average profit.(C) Calculate the super profits by deducting normal profit from the average profits.(D) Multiply super profits by the given number of years purchased.Choose the correct answer from the options given below:

$R$ and $S$ are partners in a firm sharing profits in the ratio of $5:3$. They admitted $B$ as a new partner for $\frac{1}{7}\text{th}$ share in the profit. The new profit sharing ratio among $R$, $S$, and $B$ becomes $4:2:1$. The sacrificing ratio of $R$ and $S$ is:

Goodwill can also be ascertained by capitalising the super profit directly under which method?

Which of the following is NOT a valid method for the valuation of goodwill?

Which of the following factors leads to a higher goodwill for firms?(A) Firms having long term contracts for supply of materials(B) Firms with efficient management(C) Firms which are highly profitable(D) Firms which do not have competitive advantagesChoose the correct answer from the options given below:

Upon the admission of a new partner, any upward revaluation adjustment (increase in the value of assets) is directly debited to:

X and Y are partners sharing profits in the ratio $3:2$. Z is entered into the business for $\frac{1}{4}\text{th}$ share of profits, with the guarantee of minimum profits of ₹ 30,000. Profit earned by the business for the year ended March 31st, 2024 is ₹ 1,00,000. The amount of deficiency, if any, will be borne by:

$X$, $Y$ and $Z$ are partners in a firm. If $M$ is admitted as a new partner, what would be its primary legal implication?

Match List-I with List-IIList-I (Revaluation Event)List-II (Journal Entry)(A) For increase in the value of an asset(I) Revaluation A/c Dr. To Asset A/c(B) For reduction in the amount of a liability(II) Revaluation A/c Dr. To Liability A/c(C) For reduction in the value of an asset(III) Asset A/c Dr. To Revaluation A/c(D) For appreciation in the amount of a liability(IV) Liability A/c Dr. To Revaluation A/cChoose the correct answer from the options given below:

Arrange the following steps in the correct logical sequence to calculate Goodwill using the Super Profits Method:(A) Calculate the normal profit on the firm's capital based on the normal rate of return.(B) Calculate the average historical maintainable profit.(C) Calculate the super profits by deducting normal profit from the average profit.(D) Calculate goodwill by multiplying the super profit by the specified number of years' purchase.Choose the correct answer from the options given below:

The value of goodwill calculated based on the capitalization of average profit method is $\text{Rs. }1,80,000$. If the Net Assets of the firm are valued at $\text{Rs. }8,20,000$, find the capitalized value of average profits.

Sundry Creditors in the balance sheet are Rs. 58,000. Creditors were unrecorded to the extent of Rs. 1,000. Creditors to be shown in Balance sheet after admission of partner will be:

Sameer and Yasmin are partners with capitals of $\text{Rs. }15,00,000$ and $\text{Rs. }10,00,000$ respectively, sharing profits in the ratio of $3:2$. They admit Ravi on October 1, 2019. Ravi brings $\text{Rs. }12,00,000$ as capital, and Sameer introduces an additional capital of $\text{Rs. }3,00,000$ on that same date. Interest on partner's capital is provided @ $5\%$ p.a. The amount of interest on the capital of Sameer for the financial year 2019-20 is:

Which account is credited if the net assets taken over exceed the agreed purchase consideration at the time of purchasing a business?

At the time of admission of a partner, undistributed profits appearing in the balance sheet of the old firm are transferred to the capital account of:

Arrange the steps in the correct accounting sequence at the time of admission of a partner:(A) Adjustments of capital accounts.(B) Valuation of goodwill(C) Calculation of new profit sharing ratio and sacrificing ratio.Choose the correct answer from the options given below:

Based on Case Study 2, find the value of Normal Profit.

Case StudyRead the following information to answer.Arun and Ram are partners in a restaurant business sharing profits and losses in capital ratio. Their fixed capital from the beginning of the firm was Rs. $2,00,000$ and Rs. $1,50,000$ respectively.The profit for the year ended 31 March 2022 before the appropriation of Salary and Interest on Capital was Rs. $2,20,000$. Ram is allowed a salary of Rs. $2,000$ per quarter and interest on capital @ $10\%$ p.a.Due to the further expansion of the business, they decided to enter Sanjeev as a new partner for $\frac{1}{5}$ share in profits. It was agreed that Sanjeev will bring Rs. $1,00,000$ as capital and Rs. $50,000$ as his share of Goodwill. It was decided that he will give Rs. $1,00,000$ as loan to the firm for 3 years.The amount of salary to be shown in the Dr. side of P & L Appropriation A/C will be:

Arjun and Vaibhav are partners sharing profits in the ratio of $3:2$. They admitted Rahul as a new partner for $\frac{1}{5}$ share in the future profits of the firm. The new partner acquired his share from the old partners in the old ratio. Calculate the new profit sharing ratio of Arjun, Vaibhav and Rahul.

The profit for the five years of a firm are as follows:YearProfit (Rs.)20134,00,00020143,98,00020154,50,00020164,45,00020175,00,000Calculate the goodwill of the firm on the basis of 4 years purchase of 5 years average profits.

Based on Case Study 2, calculate the final value of Goodwill.

Identify the steps involved in calculating goodwill under the capitalized value of average profits method:(A) Capitalize the average profits on the basis of the normal rate of return to ascertain the capitalized value of average profits(B) Ascertain the average profits based on the past few years' performance(C) Compute the value of goodwill by deducting net assets from the capitalized value of average profits(D) Ascertain the actual firm's capital (net assets) by deducting outside liabilities from the total assets (excluding goodwill and fictitious assets)Choose the correct answer from the options given below:

$L$ and $M$ are partners sharing profits in the ratio $3:2$. $N$ is admitted as a partner for $\frac{1}{5}\text{th}$ of the share which is acquired entirely from $L$. Goodwill of the firm is valued at Rs. $40,000$ on $N$ 's admission. $N$ will have to pay for Goodwill:

$P$, $Q$ and $R$ are partners in a firm. If $S$ is admitted as a new partner then:

At the time of admission of a new partner, for getting a right to share the assets of the partnership firm, the new partner at least will bring:

Based on Case Study 2 data, if the normal profit were instead given as $\text{Rs. }60,000$, what would be the revised calculated Normal Rate of Return?

A and B are partners sharing profits in the ratio of $5:4$. C is admitted as a partner and he acquires 25% of his share from A. B surrenders $\frac{1}{4}$ th from his share in favour of C. Calculate C's share in profit.

What are the main factors affecting the value of goodwill?(A) Nature of business(B) Location(C) Efficiency of management(D) Market situationChoose the correct answer from the options given below:

Arrange the following steps for calculating Goodwill under Capitalisation of Average Profits Method in correct sequence-(A) Ascertain the actual firm's capital (net assets) by deducting outside liabilities from the total assets.(B) Compute the value of goodwill by deducting net assets from the capitalised value of average profits.(C) Ascertain the average profits based on the past few years' performance.(D) Capitalize the average profits on the basis of the normal rate of return to ascertain the capitalised value of average profits.Choose the correct answer from the options given below:

Kim and Sim are partners in a firm sharing profits in $4:3$ ratio. They admitted Pim as a new partner for $\frac{1}{4}$ share in the profits, which he acquired in the ratio of $3:2$ from Kim and Sim. Determine the new profit sharing ratio of the partners.

Amrita and Kalyani are partners sharing profits in the ratio of $3:2$. They decide to expand the business by admitting Suraj as a new partner for a $\frac{1}{4}\text{th}$ share. Suraj's share of premium for goodwill is valued at $\text{Rs. }90,000$, which he pays to compensate Amrita and Kalyani in an agreed ratio of $1:4$.The firm's books provide the following information on that date:
$$\begin{array}{lrr}\text{Particulars}& \text{Book Value (Rs.)}& \text{Revalued Figure (Rs.)}\\ \text{Machinery}& 25,00,000& 27,00,000\\ \text{Land}& 10,00,000& 50,00,000\\ \text{Computers}& 2,50,000& 50,000\\ \text{Workmen Compensation Fund}& 5,00,000& -\end{array}$$
The claim against the Workmen Compensation Fund is determined to be $\text{Rs. }2,00,000$, and an existing goodwill balance appears in the books at $\text{Rs. }60,000$.How will the premium for goodwill brought in by Suraj be distributed between Amrita and Kalyani?

The steps involved in the calculation of goodwill under the super profit method are:(A) Calculate goodwill by multiplying the super profit by number of years purchase.(B) Calculate normal profit.(C) Calculate Average Profit(D) Calculate super profit.Choose the correct answer from the options given below:

$A$ and $B$ are partners in a firm sharing profits in the ratio of $5:3$. They admit $C$ as a new partner for $\frac{1}{7}$ th share in the profits. The new profit sharing ratio will be $4:2:1$. The sacrificing ratio of $A$ and $B$ is

When goodwill has to be inferred from the arrangement of capital and profit sharing ratio, it is called:

A, B and C were partner's in a firm sharing profit and losses in the Ratio of $5:3:2$. They admitted D into partnership for $1/5$ share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash. Capital brought in by is Rs. $50,000$. On the date of admission the Balance Sheet of A, B and C was as follows :Balance Sheet as on 31st March, 2021

Goodwill is to be valued at $3$ years purchase of average profit of last $4$ years which were Rs. $60,000$ (2017-18), Rs. $60,000$ (18-19), Rs. $30,000$ (19-20). On revaluation it was found that all debtors are good.Calculate the total amount brought in by new partner D including Goodwill share :

Rohit and Mohit are partners in a firm sharing profits in the ratio $5:3$. They admitted Bijoy as a new partner for $\frac{1}{7}$ share in the profit. The new profit sharing ratio will be $4:2:1$. Calculate the sacrificing ratio of Rohit and Mohit:

A, B and C are partners in a firm sharing profits in the ratio of $3:2:1$. D is admitted into the firm for $1/4$ th share in profits, which he gets as $1/8$ th from A and $1/8$ th from B. The total capital of the firm is agreed upon as $\text{Rs. }1,20,000$ and D is to bring in cash equivalent to $1/4$ th of this amount as his capital. The capitals of other partners are also to be adjusted in the ratio of their respective shares in profits. The capitals of A, B and C after all adjustments are $\text{Rs. }40,000$, $\text{Rs. }35,000$ and $\text{Rs. }30,000$ respectively.D will bring in cash as his capital:

Arrange the steps of the method "Capitalization of Average Profits" for the calculation of goodwill in the correct sequence:(A) Capitalize the average profits on the basis of the normal rate of return to ascertain the capitalized value of average profits as follows: $\text{Average Profits}\times \frac{100}{\text{Normal Rate of Return}}$ (B) Ascertain the average profits based on the past few years' performance.(C) Ascertain the actual firm's capital (net assets) by deducting outside liabilities from the total assets (excluding goodwill and fictitious assets).(D) Compute the value of goodwill by deducting net assets from the capitalized value of average profits.Choose the correct answer from the options given below:

Amrita and Kalyani are partners sharing profits in the ratio of $3:2$. They decide to expand the business by admitting Suraj as a new partner for a $\frac{1}{4}\text{th}$ share. Suraj's share of premium for goodwill is valued at $\text{Rs. }90,000$, which he pays to compensate Amrita and Kalyani in an agreed ratio of $1:4$.The firm's books provide the following information on that date:
$$\begin{array}{lrr}\text{Particulars}& \text{Book Value (Rs.)}& \text{Revalued Figure (Rs.)}\\ \text{Machinery}& 25,00,000& 27,00,000\\ \text{Land}& 10,00,000& 50,00,000\\ \text{Computers}& 2,50,000& 50,000\\ \text{Workmen Compensation Fund}& 5,00,000& -\end{array}$$
The claim against the Workmen Compensation Fund is determined to be $\text{Rs. }2,00,000$, and an existing goodwill balance appears in the books at $\text{Rs. }60,000$.What is Amrita's share in the unallocated balance of the Workmen Compensation Fund?

At the time of admission of a new partner, general reserve appearing in the old balance sheet is transferred to:

A, B and C are partners in a firm sharing profits in the ratio of $3:2:1$. D is admitted into the firm for $1/4$ th share in profits, which he gets as $1/8$ th from A and $1/8$ th from B. The total capital of the firm is agreed upon as $\text{Rs. }1,20,000$ and D is to bring in cash equivalent to $1/4$ th of this amount as his capital. The capitals of other partners are also to be adjusted in the ratio of their respective shares in profits. The capitals of A, B and C after all adjustments are $\text{Rs. }40,000$, $\text{Rs. }35,000$ and $\text{Rs. }30,000$ respectively.The New Profit Sharing Ratio in this case is:

A, B and C are partners in a firm. If D is admitted as a new partner then:

C brings in Rs. 60,000 as his share of goodwill for $\frac{1}{4}$ share in profit. A and B share profits in ratio $2:1$. A's share of goodwill brought in by C will be:

The important methods of valuation of goodwill are as follows:(A) Average Profits Method(B) Normal Profits Method(C) Super Profits Method(D) Capitalization MethodChoose the correct answer from the options given below:

The profits for the five years of a firm are as follows:Year 2013: $\text{Rs. }4,00,000$ Year 2014: $\text{Rs. }3,98,000$ Year 2015: $\text{Rs. }4,50,000$ Year 2016: $\text{Rs. }4,45,000$ Year 2017: $\text{Rs. }5,00,000$ The goodwill of the firm on the basis of $4$ years' purchase of $5$ years' average profits is:

A business has earned average profits of Rs. 1,00,000 during the last few years and the normal rate of return for a similar business is 10%. Ascertain the value of goodwill by capitalization of average profits method, given that the value of net assets of the business is Rs. 8,20,000.

According to Section 31 of the Indian Partnership Act, 1932, a new partner can be admitted into an existing partnership firm:

The books of a business showed that the firm's capital employed on December 31, 2015, is Rs. 5,00,000 and the profits for the last five years were: 2011–Rs. 40,000; 2012–Rs. 50,000; 2013–Rs. 55,000; 2014–Rs. 70,000 and 2015–Rs. 85,000. Find out the normal profits of the business, given that the normal rate of return is 10%.

The books of a business showed that the firm's capital employed on December 31, 2015, is $\text{Rs. }5,00,000$. The profits for the last five years were:2011: $\text{Rs. }40,000$ 2012: $\text{Rs. }50,000$ 2013: $\text{Rs. }55,000$ 2014: $\text{Rs. }70,000$ 2015: $\text{Rs. }85,000$ Find out the normal profits of the business, given that the normal rate of return is $10\%$.

Select the factors affecting the value of goodwill-(A) Nature of business.(B) Efficiency of management.(C) Location.(D) Prices.Choose the correct answer from the options given below:

Calculate the amount of adjusted profit for the year ended 31 March 2021 for the purpose of valuation of Goodwill from the following information:Profit for the year ended 31 March 2021: Rs. $80,000$ On 1 July, 2020, a major plant repair was undertaken for Rs. $10,000$ which was charged to Revenue. The said sum is to be capitalised for Goodwill valuation subject to adjustment of depreciation @ $10\%$ p.a. on reducing balance method.

Rohit and Mohit are partners in a firm sharing profits in the ratio of $5:3$. They admit Bijoy as a new partner for $\frac{1}{7}\text{th}$ share in the profits. The new profit sharing ratio will be $4:2:1$. The sacrificing ratio of Rohit and Mohit is-

Identify the INCORRECT journal entry configuration related to the Revaluation of Assets and Liabilities of a partnership firm:

A, B and C are partners in a firm sharing profits in the ratio of $3:2:1$. D is admitted into the firm for $\frac{1}{4}\text{th}$ share in profits, which he gets $\frac{1}{8}\text{th}$ from B. The total capital of the firm is agreed upon as $\text{Rs. }1,20,000$ and D is to bring in cash equivalent to $\frac{1}{4}\text{th}$ of this amount as his capital. The capitals of other partners are also to be adjusted in the ratio of their respective shares in profits. The capitals of A, B and C after all adjustments, are $\text{Rs. }40,000$, $\text{Rs. }35,000$ and $\text{Rs. }30,000$ respectively. Calculate the new capital of A

Identify the correct accounting sequence when a new partner is to bring proportionate capital into the firm.A. Calculation of Capital Balance of old partnersB. Preparation of Revaluation A/cC. Determination of Revaluation gain/lossD. Presentation of Treatment of GoodwillE. Calculation of Capital to be brought in by the new partnerChoose the correct answer from the options given below:

Anshu and Nitu are partners sharing profits in the ratio of $3:2$. They admitted Jyoti as a new partner for $\frac{3}{10}$ share which she acquired $\frac{2}{10}$ from Anshu and $\frac{1}{10}$ from Nitu. The new profit sharing ratio of Anshu, Nitu and Jyoti.

$A$ and $B$ are partners in a firm sharing profits in the ratio $2:1$. $C$ is admitted into the firm with a $\frac{1}{4}\text{th}$ share in profits and brings $\text{Rs. }30,000$ as his capital. If the capitals of the old partners $A$ and $B$ are to be adjusted on the basis of $C$ 's capital contribution in their profit-sharing ratio, then what will be the adjusted capital of $A$?

A and B are partners in a firm sharing profits in the ratio of $3:2$. They admit C as a partner for a $\frac{1}{3}$ share. The sacrificing ratio between A and B is:

A and B are two partners sharing profits in the ratio of $2:1$. C will bring in Rs. 1,00,000 as capital and Rs. 60,000 as his share of goodwill for $\frac{1}{4}$ share in profit.Stock in the balance sheet is given as Rs. 40,000.Stock is found overvalued by Rs. 4,000.Value of stock to be shown in Balance sheet after admission will be:

The past average profits of a business work out to $\text{Rs. }20,000$ and it is expected that such profits are likely to continue for another three years. The value of goodwill based on the average profit method will be:

A, B and C are partners in a firm. If D is admitted as a new partner, what will be its affect?

Abhiram and Ragini are partners sharing profits in the ratio of $3:2$. They admit Arun as a new partner for a $\frac{1}{5}\text{th}$ share in the future profits of the firm. Arun acquires this share equally from Abhiram and Ragini. Calculate the new profit-sharing ratio of Abhiram, Ragini, and Arun.

Hidden Goodwill is:

Arrange the following steps which involve the Super Profits Method of valuation of goodwill in the correct sequence:(A) Calculate the average profit.(B) Calculate the normal profit on the firm's capital on the basis of the normal rate of return.(C) Calculate goodwill by multiplying the super profits by the given number of years' purchase(D) Calculate the super profits by deducting normal profit from the average profits.Choose the correct answer from the options given below:

A and B are partners sharing profits in the ratio of 2:1. C is admitted into the firm for 1/4 share of profits. C brings in Rs. 20,000 in respect of his capital. The capitals of old partners A and B, after all adjustments relating to goodwill, revaluation of assets and liabilities, etc., are Rs. 45,000 and Rs. 15,000 respectively. It is agreed that partners' capitals should be according to the new profit sharing ratio. Determine the new profit sharing ratio

The journal entries recorded for revaluation of assets and reassessment of liabilities are given here, find the correct :(A) For increase in the value of an assetAsset A/c Dr.To Revaluation A/c(B) For reduction in the value of an assetRevaluation A/c Dr.Asset A/c(C) For increase in the amount of a liabilityLiability A/c Dr.To Revaluation A/c(D) For recording in the amount of a unrecorded liabilityRevaluation A/c Dr.To Liability A/cChoose the correct answer from the options given below:

At the time of admission of a new partner general reserve appearing in the old balance sheet is transferred to _______

Which among the following is Not the method of valuation of goodwill:

Hemant and Naman are partners in a firm sharing profits in the ratio of 3:2. Their capitals were Rs. 80,000 and Rs. 50,000 respectively. They admitted Samrat on Jan. 1, 2025 as a new partner for 1/5 share in the future profits. Samrat brought Rs. 60,000 as his capital. Calculate the value of goodwill of the firm?

Match List-I with List-IIList–IList–II(A) Existing Goodwill(I) no entry passed.(B) Goodwill premium(II) Calculated on the basis of capital of partners.(C) Goodwill paid privately(III) Written off.(D) Hidden goodwill(IV) credited to sacrificing partner.Choose the correct answer from the options given below:

Match List - I with List - II.
$$\begin{array}{ll}\text{List - I}& \text{List - II}\\ \text{(A) Increase in Furniture Value}& \text{(I) Credit side of Partner’s Capital A/c}\\ \text{(B) Depreciation on Machinery}& \text{(II) Debit side of Partner’s Capital A/c}\\ \text{(C) General Reserve}& \text{(III) Credit side of Revaluation A/c}\\ \text{(D) Goodwill appearing in Books}& \text{(IV) Debit side of Revaluation A/c}\end{array}$$
Choose the correct answer from the options given below:

Which among the following is NOT true for the New Profit Sharing Ratio?

A and B are partners, they admit C into partnership. C was asked to pay Rs 2,50,000 though his share of capital was estimated Rs 2,00,000 only. For what was the extra Rs 50,000 asked from C?

Which statement among the following is NOT true about Goodwill?

Revaluation Account is a/an:

In line with what is prescribed by Accounting Standards, existing goodwill appearing in the balance sheet is written off at the time of:

At the time of admission of partner if goodwill exist in the books of account it will be written off among:

A, B and C were partner's in a firm sharing profit and losses in the Ratio of $5:3:2$. They admitted D into partnership for $1/5$ share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash. Capital brought in by is Rs. $50,000$. On the date of admission the Balance Sheet of A, B and C was as follows :Balance Sheet as on 31st March, 2021

Goodwill is to be valued at $3$ years purchase of average profit of last $4$ years which were Rs. $60,000$ (2017-18), Rs. $60,000$ (18-19), Rs. $30,000$ (19-20). On revaluation it was found that all debtors are good.What would be the effect of the line "All Debtors are good".

A, B and C were partner's in a firm sharing profit and losses in the Ratio of $5:3:2$. They admitted D into partnership for $1/5$ share of profit which he takes equally from A and B. D brought sufficient amount of goodwill in cash. Capital brought in by is Rs. $50,000$. On the date of admission the Balance Sheet of A, B and C was as follows :Balance Sheet as on 31st March, 2021

Goodwill is to be valued at $3$ years purchase of average profit of last $4$ years which were Rs. $60,000$ (2017-18), Rs. $60,000$ (18-19), Rs. $30,000$ (19-20). On revaluation it was found that all debtors are good.From the above calculate amount of Goodwill :

At the time a new partner is admitted, revaluation of assets and liabilities is made for the:

When a new partner is admitted, the increase in the value of the assets is debited to which account?

$A$ and $N$ are partners sharing profits in the ratio $2:1$. $A$ 's son $Ashu$ was admitted as a partner for $\frac{1}{4}\text{th}$ share, half of which was gifted by $A$ to her son. The remaining portion was contributed by $N$. The goodwill of the firm is valued at Rs. $40,000$. How much amount will be credited to the old partners' capital accounts respectively for goodwill?

The accumulated profits and reserves existing at the time of admission of a new partner are transferred to: