Page 6 - ha1 death of partner

20. Profit on revaluation account will appear which side of the deceased

partner capital account.

a) Debit side

b) Credit side

c) Both

d) None of the above

21. Example : X,Y & Z are partners in a firm sharing profit in the ratio of 5:3:2.

st
The profits of the firm for the year ending on 31 December 2018 was Rs
st
2,40,000.Z dies on 31 May 2019 .Calculate z’s share of profit till his death
,taking last year profit as the base. Pass the journal entry also.

22. Aman, Naman, & Raman are in partnership sharing profits in the ratio of

th
4:3:1.Naman died on 30 june 2013.Aman and Raman decided to share future
profits in the ratio of 3:2.Goodwill is to be valued on the basis of 2 ½ year’s

purchase of average profits of 4 completed years immediately preceding the

year of death of a partner. The firm ‘s profit for various years were:

Year 2009 2010 2011 2012

Profit 80,000 70,000 40,000 50,000

Calculate Naman ‘s share of goodwill and pass necessary journal entry for

the treatment of goodwill on Naman ‘s death.