Retirement and Death of a Partner-Test 5

How unrecorded assets are treated at the time of retirement of a partner ?

A, B and C are partners sharing profits in the ratio of 2 : 2 : 1. On retirement of B, goodwill was valued as Rs.30,000. Find the contribution of A and C to compensate B:

Out going partner is compensated for parting with firm’s future profit’s in favour of remaining partners. The remaining partners contribute to such compensation in :

X, Y, Z are partners sharing profits and losses equally. They took a joint life policy of Rs.5,00,000 with a surrender value of Rs.3,00,000. The firm treats the insurance premium as an expense. Y retired and X and Z decided to share profits and losses in 2 : 1. The amount of Joint Life Policy will be transferred as :

X, Y, Z were partners sharing profits in ratio 5 : 3 : 2. Goodwill does not appear in books, but it is agreed to be worth Rs.1,00,000. X retires from the firm and Y and Z decide to share future profits equally. X’s share of goodwill will be debited to Y’s and Z’s capital A/cs in ratio :

A, B, C are partners sharing profits in the ratio of 2 : 2 : 1. A’s capital is Rs.50,000. B’s capital Rs.70,000 and C Rs.35,000. B retires from the firm and balance in reserve on the date was Rs.25,000. If goodwill of the firm was Rs.30,000 and profit on revaluation was Rs.7,500 then amount payable to B is :

A, B and C are partners sharing profits and losses in the ratio of 1/2, 3/10 and 1/5. B retires from the firm, A and C decide to share the future profits and losses in 3 : 2. Calculate gaining ratio :

A, B and C are partners with capitals of Rs.1,00,000, Rs.75,000 and Rs.50,000. On C’s retirement his share is acquired by A and B in the ratio of 6 : 4. Gaining ratio will be :

At the time of retirement of a partner, firm gets ___ from the insurance company against the joint life policy taken jointly for all the partners :

A, B and C are partners sharing profits equally. A retires and goodwill appearing in the books at Rs.3000 is valued at Rs.6,000. A will get credit of :

B, C, D are partners sharing profits in the ratio 7 : 5 : 4. D died on 30th June 2006 and profits for the year 2005-2006 were Rs.12,000. How much share in profits for the period 1st April 2006 to 30th June 2006 will be credited to D’s Account ?

The balance of joint life policy account as shown in the balance sheet represents :

The amount due to the deceased partner is paid to his :

A, B and C are partners sharing profits and losses in the ratio 2 : 2 : 1. C dies on 31st March 2007. The profits of the financial year ending 31st March 2007 is Rs.64,000. The share of the deceased partner in the profits will be :

A, B, C are partners sharing profits in the ratio 1 : 1 : 2. C died on 30th June 2006 and profits for the accounting year ended on 31st December 2006 were Rs.24,000. How much share in profits will be credited to C’s account ?

JLP of the partners is a/an _____ account.

After the death of a partner, amount payable is received by :

How is the premium paid on the JLP of partners treated ? It is ____to the ______ accounts :

A, B, C are partners sharing profits and loss in 5 : 3 : 2. The firm’s balance sheet as on 31.3.2007 shows Reserve Balance of Rs.25,000. Profit of the last year Rs.50,000. Joint Life Policy of Rs.10,00,000, Fixed, assets of Rs.12,00,000. On 1st June C died and on same date assets were revalued. The executors of C will get along with capital :

Joint Life Policy amount received by a firm is distributed in ____ .

X, Y, Z are partners sharing profits in the ratio of 3 : 4 : 3 Y retires, and X and Z share his profits in equal ratio. Find the new ratio of X and Z.

X, Y, Z are equal partners in a firm, Z retires from the firm. The new profit sharing ratio between X and Y is 1:2. Find the gaining ratio.

A, B and C were partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. The capital balances of A, B and C are Rs.50,000. Rs.50,000 and Rs.25,000 respectively. B declared to retire from the firm on 1st April, 2008. Balance in reserve on the date was Rs.15,000. If goodwill of the firm was valued as Rs.30,000 and profit on revaluation was Rs.7,050, then what amount will be transferred to the loan account of B.

Hari, Roy and Prasad are partners in the ratio of 3 : 5 : 1 respectively. Roy wants to retire. His share is being purchased by Prasad. What would be the new ratio of Hari and Prasad respectively ?

When the goodwill is raised at its full value and written off at retirement of a partner, the remaining partners share goodwill in ______ .

If the firm gets dissolved due to retirement of one the partners, then what amount of JLP will be credited in partner’s capital A/c ?

P, Q and R were partners sharing profit and losses in the ratio of 2 : 2 : 1 respectively, with the balance of capital Rs.75,000, Rs.50,000 and Rs.25,000 respectively on 1st April 2011, Q decided to retire from the firm on 31st March 2012. On that day the balance in the reserve account was Rs.12,000. If the goodwill of the firm was valued as Rs.30,000 and profit on revaluation was rs.10,000, then what amount would be transferred to the loan account of Q ?

A, B and C are partners in a firm sharing profits and losses in the ratio of 5 : 3 : 2 respectively. The balance of capital is Rs.50,000 for A and B each and Rs.40,000 for C. B declares to retire from the firm. The goodwill of the firm is valued at Rs.30,000 and profit on revaluation of assets is Rs.5,000. The firm also has a balance in the reserve account for Rs.15,000 on that date. What amount will be payable to B ?

A, B and C were partners sharing profits and losses in the ratio of 3 : 2 : 1. On 1st April, 2011 B retired and the new profit sharing ratio between A and C decided to 3 : 2. On 31st March 2011, there were reserves of firm Rs.24,000. This reserve will be divided among partners as :

Under _____ the premium paid is treated as an ordinary expense and joint life policy does not appear as an asset in the Balance Sheet of the firm :