UrbanPro
true

Take Class 12 Tuition from the Best Tutors

  • Affordable fees
  • 1-1 or Group class
  • Flexible Timings
  • Verified Tutors

Search in

How to Solve Capital Adjustment Question in Admission of Partner- 12th Accounts CBSE

Piyush Mehta
22/05/2017 0 0

Generally capital adjustment are divided into two major part:

1. When new partner capital is given in the question: The new partner capital is given then capitals are to be adjusted as per new ratio and taking new partner capital as a base. After finding out the balance/ c/ d of old partner necessary adjustment can be made in cash or through current as the question is specified.

2. When new partner capital is not given in the question: When new partner capital is not given then there are two sub type of questions

(a) Adjust the capital as per combined capital of old partner:

(b) find out the capital of new partner as a total share in new firm or as proportionate capital

Note: When it is capital adjustment question and goodwill is not brough in cash then following journal entry could be passed.

C's current a/c Dr---{to be recorded in balance sheet asset side}

  To A's Capital a/c--{to be credited in capital capital in sacrificng ratio}

  To B's Capital A/c --{to be credited in capital capital in sacrificng ratio}

 

0 Dislike
Follow 1

Please Enter a comment

Submit

Other Lessons for You

What is liabiliy?
A liability is an obligation and it is reported on a company's balance sheet. A common example of a liability is accounts payable. Accounts payable arise when a company purchases goods or services on credit...

GST By CA Prashanth Reddy
GST on services fixed; Ola, Uber rides and flights to be cheaper, education and health exempt. The GST Council on Friday finalised tax rates for services under the Goods and Service Tax (GST) regime,...

Joint Stock Company And It's Types
What is a Joint Stock Company and what are its types?

The Strategies that Set Top Students Apart
Study Tips 1: Focus on mastery Study Tips 2: Find the value for you Study Tips 4: Build your competence and gain confidence Study Tips 5: Think critically about what you’re learning Study Tips...

Piyush Chauhan

0 0
0

Think-practically
Involve-yourself-incontent
N
X

Looking for Class 12 Tuition Classes?

The best tutors for Class 12 Tuition Classes are on UrbanPro

  • Select the best Tutor
  • Book & Attend a Free Demo
  • Pay and start Learning

Take Class 12 Tuition with the Best Tutors

The best Tutors for Class 12 Tuition Classes are on UrbanPro

This website uses cookies

We use cookies to improve user experience. Choose what cookies you allow us to use. You can read more about our Cookie Policy in our Privacy Policy

Accept All
Decline All

UrbanPro.com is India's largest network of most trusted tutors and institutes. Over 55 lakh students rely on UrbanPro.com, to fulfill their learning requirements across 1,000+ categories. Using UrbanPro.com, parents, and students can compare multiple Tutors and Institutes and choose the one that best suits their requirements. More than 7.5 lakh verified Tutors and Institutes are helping millions of students every day and growing their tutoring business on UrbanPro.com. Whether you are looking for a tutor to learn mathematics, a German language trainer to brush up your German language skills or an institute to upgrade your IT skills, we have got the best selection of Tutors and Training Institutes for you. Read more