Rohit and Mohit were partners in a firm sharing profits and losses in the ratio of 3 : 2. Rahul was admitted into partnership for 1/3rd share in profits.
Goodwill of the firm was valued at ₹30,000. Rahul brought ₹40,000 as capital and ₹5,000 out of his share of goodwill premium in cash. At the time of Rahul’s admission, goodwill was appearing in the books of the firm at ₹15,000.
Pass necessary journal entries for the above transactions in the books of the firm on Rahul’s admission.